By David Russell, reporter at OptionMonster
optionMONSTER's tracking systems detected unusual activity early in the session, with the September 33 calls bought for 35 cents and 40 cents. More than 6,500 changed hands against previous open interest of 3,404 contracts.
Calls lock in the price investors must pay to buy shares, so they could generate some nice leverage if the chip maker keeps rallying in the near term. But if it doesn't, they will expire worthless.Skyworks gapped higher Friday morning and closed higher by 3.61% to $30.46 -- just below the highs. The September 33 calls later fetched as much as 55 cents, which shows how quickly they can move. The semiconductor company has been pushing higher as investors prepare for Apple to launch iPhone 5, which uses its products. Overall option volume in SWKS was six times greater than average in the session, with calls outnumbering puts by almost 10 to 1. Russell has no positions in SWKS or OVTI.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV