Retail emerged as an early theme in option activity on Black
Friday, with discounter TJX leading the way.
optionMONSTER's Heat Seeker system detected heavy buying in the
December 65 calls, with large blocks hitting earlier for $0.55 to
$0.75. More than 5,000 traded against previous open interest of
1,495 contracts, indicating that new positions were initiated.
lock in the price where a stock and be purchased, letting investors
cheaply position for a rally. If it climbs, they stand to earn
significant leverage. (See our
TJX fell 0.38 percent to $62.88 on Friday but was up almost 1
percent at one point in the session. Other retailers such as
Macy's, L Brands, and American Eagle Outfitters also saw bullish
activity in the session, typically the busiest shopping day of the
Overall option volume was quadruple the daily average, with calls
accounting for almost four-fifths of the total.
(A version of this post appeared on
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