By Mike Yamamoto, managing editor of OptionMonster
NEW YORK -- Bullish activity at a single strike made up all the option volume in Fairchild Semiconductor (FCS) on Friday.
OptionMonster's tracking systems show that 4,036 February 13 calls were bought in less than two minutes on Friday afternoon, led by a print of 2,559 that went for $1.54. The volume compares with open interest of only 189 contracts at the start of the day, so this is fresh buying.
Fairchild rose 0.58% on Friday to finish the week at $13.98. The chipmaker bounced sharply just below the $12 level on Nov. 16 and hit a three-month high of $14.23 last Wednesday, a session before Citigroup reiterated its buy rating on the name and raised its price target to $20 from $15.Friday's calls, which lock in the price where the trader can buy the stock, are looking for Fairchild shares to gain more than 4% by expiration in mid-February. Total option volume in the name was 26 times its daily average in the last month. Yamamoto has no positions in FCS.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $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
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV