Unusual Options Activity in Technology Select Sector SPDR ETF $XLK

1

• OPTIONS TRADING

Unusual Options Activity in Technology Select
Sector SPDR ETF XLK
2
Welcome to Options Trading Research Your premier
site for news and information on Profitable
Options Trading. For more info on Options Trading
visit our website www.OptionsTradingResearch.com
3

• Get Your Free Report For The Best Options To Buy
  For 2016!
• Well tell you about this
• Special Offer
• at the end of the video!

4

• Hi, My name is Steve and Im with Options Trading
  Research, today were reviewing our recently
  published article

5

• Unusual Options Activity in Technology Select
  Sector SPDR ETF XLK

6

• As many of you know, unusual options activity can
  be a valuable indicator as to what traders are
  thinking, and more importantly, where these
  stocks are heading in the short-term.

7

• This is something professional options traders
  pay a lot of attention to, and for good reason
  Unusual options activity can tip off big moves
  in a stock, either up or down.

8

• So lets take a look at some interesting
  activity that caught our eye this week
• Technology Select Sector SPDR ETF XLK is the
  most popular sector ETF for trading the
  technology sector.

9

• The ETF trades over 10 million contracts a day on
  average. For a good description of the fund,
  XLK is trading at 44.15, up 9 for the year.
  Thats just 1 below the 52-week high, and 42
  above the 52-week low.

10

• So what does unusual options activity in XLK tell
  us?

11

• As 2015 quickly draws to a close, we can start to
  look back at the sectors that have performed
  well, and those that have done not so well.

12

• You often hear about how poorly the energy sector
  has done (which is entirely true), but on the
  other side, technology stocks have had quite a
  year.

13

• Compared to the SP 500 in general, the tech
  sector has outperformed by about 200. Granted,
  the sector is dominated by several huge companies
  that have done very well.

14

• Nevertheless, if you were only invested in tech
  this year, you would have done quite well for
  your portfolio. Heres the deal
• Recently, a substantial amount of calls traded in
  XLK.

15

• Keep in mind, a call option makes money when the
  underlying stock goes up before its expiration
  date. To be more specific, a trader bought a
  block of 28,750 45.50 calls expiring in December.
  

16

• The price paid for each contract was 0.08. And,
  the block was part of an exchange-wide purchase
  making up around 70,000 contracts.
• Heres the chart of XLK

17
(No Transcript)
18

• XLK has done very well since recovering from the
  August correction. As you can see, the ETF has
  remained above the 200-day moving average since
  breaking through in October.

19

• The trade could be an indication that the tech
  sector is going to make a run at new highs this
  year (prior to the end of the year). While it
  only needs to go up a 1 to reach the option
  strike, theres only about 10 days until
  expiration.

20

• Still, the buyer only paid 8 cents. It wont
  take much for the options to double or triple in
  price. And, 70,000 contracts means a small move
  could result in big gains.

21

• More Options Trading Ideas

22

• Keep in mind, theres a lot more unusual options
  activity going on than what we discuss here. We
  just try to bring you what we feel are the most
  significant ones and the ones you might actually
  be able to make some money on!

23

• Want More from Options Trading Research.com?
• Follow us on Social Media

24

• Want more FREE information on Options Trading?
• OptionsTradingResearch.com

DOWNLOAD NOW!
25
READ THIS FREE REPORT!
The Best Options To Buy Right Now!