DryShips (DRYS) adds 15 cents to $2.40 in active trading of 4.6 million shares after Global Hunter initiated the stock with a Buy rating. 10,000 calls and 400 puts have traded on the stock so far. June. July and Sep 2.5 calls, which are 4.2 percent OTM, are seeing the bulk of the flow. The activity includes a morning sweep of 1,255 Jun 2.5s for 18 cents and a 1960-lot of July 1961 Jul 2.5 calls for 27 cents per contract. Speculative call buying is lifting 30-day ATM implied volatility up 4.5 percent to 79, as shares stage a two-day 11.7 percent rebound after a 13-day 32.7 percent losing streak.
About the Author (Author Profile)
Frederic Ruffy is a well-known trader, writer, and strategist who has spent years educating investors and creating intelligent, insightful, unbiased market observations that are frequently cited by the Wall Street Journal and other financial publications. As senior analyst, Fred provides frequent and regular notes and daily updates for activity of interest.