Options Recap: Heavy Trading on Wells Fargo

OptionMonster co-founder Jon Najarian provides options picks Monday, Wednesday and Friday in TheStreet.com's Deep in the Money Calls newsletter.

David Russell, reporter for OptionMonster.

Below is a compilation of stories that ran today on OptionMonster.com, which uses advanced monitoring systems to detect trading patterns by large institutional traders and retail investors.

Options bullish on Cavium Networks: Cavium Networks(CAVM) is up more than 7% today, and traders are selling puts on a bet it won't go back down.

Traders piling into MEMC calls: Options activity surged in MEMC Electronic Materials(WFR) as takeover rumors circulate.

"Ultrashort" puts are bullish on stocks: There are a number of ways to play this rally, and one trader is using put spreads on an "ultrashort" S&P 500 exchange traded fund.

Forest Oil gets bullish trades: Forest Oil(FST) is down, but options traders are betting that it's not out.

Wells Fargo gets huge put trade: Wells Fargo(WFC) is falling today ahead of the government's bank "stress test" results, and put sellers have stepped in to insure against further declines.

Trader aims high in American Tower: In a so-called risk-reversal trade, one large investor is betting that shares of cellular-tower company American Tower(AMT) are headed higher.

Inverness sees heavy call volume pre-market: Options activity surged in Inverness Medical Innovations(IMA) yesterday as traders positioned for the diagnostics company to keep rising.

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