Gamestop (GME) drops $1.48 to $26.07 on increasing volume of 1.8 million shares and seeing relative weakness for a second day. Video game related names were under pressure yesterday on concerns about a possible review of violent games content — Briefing. The stock is down again today and put volume is trouncing call activity in GME by a ratio of 7-to-1. Roughly 4,500 puts and 640 calls traded in the name. Downside Jan 25, Dec 26, and Jan 26 puts are the most actives and 30-day ATM implied volatility in options is up 11 percent to 41.
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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.