Safeway (SWY) adds 22 cents to $22.73 and an Apr 20 – 22 (2X1) put ratio spread is apparently bought on the stock today for 40 cents, 4000X. The position is being opened in front of earnings tomorrow morning. SWY has suffered post-earnings losses after the past four reports, including a 9 percent slide on 7/21. Average daily loss is 3.5 percent.

Williams Companies (WMB) is off 12 cents to $29.34 and levels of implied volatility in the options on the stock are moving higher today ahead of earnings. The natural gas producer reports after the closing bell. The top trade on the stock so far is Mar 29 – 31 bearish risk-reversal for 6 cents, 2700X on ISE. Data indicate calls were sold to buy puts and open a new position. Beyond that, the action has been in smaller lots and players are also taking positions in Mar 30 calls, which were active yesterday (see 2/21 color) and have traded 4,270 contracts today. Meanwhile, impled volatility in the options on WMB is on the move — up 18.5 percent to 27. The stock sometimes sees volatility around profit reports. The average daily post-earnings moves over the past four quarters is 5.8 percent, including a 10 percent slide on 8/4/2011.

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

JP Morgan (JPM) loses 24 cents to $38.22 and 25,500 April 39 calls are sold on the stock at $1.16 per contract. Like the big prints in BAC this week (see 2/21 and 2/22 color), the activity might close a position opened a few weeks ago, when 12,500 traded for $1.24 on 1/31 and 13,000 for $1.45 on 2/1. However, unlike BAC, the liquidating trades in JPM seem to be for a loss after a 2.4 percent advance in shares. The move wasn”t been sufficient enough to offset the negative impacts from theta and vega.

Mosaic (MOS) adds $2 to $58.91 on heavy volume of 2.3 million shares, which compares to expected volume of less than 500K. Options action might be heating up as well. Weekly 60 calls are the most actives. 1,362 traded against 1,018 in open interest. The company hosts an Analyst Day today.