![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhDyyaw14ieXE8L587ld7J88q91uyZ4Bc9BsomBeRwg0nQ65Zz3bmIT9lL47n6Uc5qfTyLXOxA5YpNHp1KbFH07zmQu-YStfKQKTjUSRCB17NkS4171xHa7cZGG0wBm9ETFcT6NrrD5tx4/s400/bzh_summary.gif)
The company has traded over 14,500 options today on total daily average option volume of just 1,286. Calls are trading on a 3:1 ratio relative to puts. The largest trade was a sale of the Nov 5/7.5 risk reversal (buy calls/sell puts) @ $0.07. The Stats Tab and Day's biggest trades snapshots are included (click either image to enlarge).
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhEfJcPn1XMmSL106S0biIulo6MD-uaAPfbvX56iI47b57qTjJSF7tyPxfiHL-xAAn0q_jEdgBPoS8IhSEFTtNaY0hdmnYy4FcGcFICX0UrPZM-nIz3lHJB_TRaQ1cy6ClbDrMKL8-rm2I/s400/bzh_stats.gif)
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhuxrwdY3S1NRrst6vpE5VWBEiZFXdaLocF9Et9bfD0UY_isQSKRRXIb0mpodEtZxf55jDmVkwBpFnSHlWL7sElCjP2Ffe3HRh5J6TLMe7SYef1ok-DEE1NpQHYG9JCJGGh49nhqJR3ymU/s400/byd_trades.gif)
The Options Tab (click to enlarge) illustrates a few things:
(1) The risk reversal was mostly opening for both the calls (long) and the puts (short). We see this b/c the open interest is significantly smaller than the trade volume.
(2) The Jun 5 and Jun 7.5 calls are less than OI - need to check if they're opening or closing
(3) The May vol is up 12.0 points while the back months are more muted.
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiKRoXC2eRwMUSSI65ekJLM4H1x-ZYky6lDH0yVaGqYiIudjNReZ3fJmUu3Y_yxjIkYmaS7mqDqQN0mUDGR3rpX6FXVvoRzEovqCTafPtHC0GZUp2gScWzKpB7-SMvAzuUx3R1QIxHTivQ/s400/bzh_options.gif)
The May 5 and 7.5 calls are predominantly purchases. The OI is long - so these are double downs (I checked using the level 2 pop-up and Time & Sales). These call purchases together with the risk reversal are very bullish if not done with stock. Having said that - I dunno if that's the case. Stock has traded over 2x normal volume already. Either way, people are getting long the juice - and vol is spiking with that order flow.
The Skew Tab snap is pretty interesting - you can see the upside skew super bent up for the two front months.
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhJ_C-RKzzi57ETh_tZzwNzAxFUQC5KUGPJJdGos26L8j6j5jFkbqLNzftyHiK1AqAXKBpj-djxt8GQZP8Ha36vBHOQfXtj-ndKGysaw452XqGsHDev2ptQQu0_z5t3jTQQP8rzg-fBRNI/s400/bzh_skew_4-22-2010.gif)
You might see either the Nov 7.5 calls come up, or the other months come down (or a mixture of both). The divergence could converge. Keep in mind, earnings are in this May cycle.
This is trade analysis, not a recommendation.
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