OptionMonster co-founder Pete Najarian provides options picks Monday, Wednesday and Friday in TheStreet.com's Deep in the Money Calls newsletter.David Russell, reporter for OptionMonster. NEW YORK ( TheStreet) -- Call buyers stake a claim in St. Joe (JOE - Get Report): The Florida land developer began the session down 18% since mid-September, and buyers are now staking a claim in the name. Intersil (ISIL) developing bearish pattern: A very obvious bearish pattern is developing on the circuit maker's daily chart ahead of its earnings release after the close. Extra year of insurance sold on Fifth Third (FITB - Get Report): One big investor is apparently confident in the beaten-down lender and sells an additional year of protection ahead of its earnings report. Dress Barn (DBRN) opens doors to bulls: The bulls are stampeding into the retail clothing chain, snapping up shares and calls in the heavily shorted name. Bulls digging deeper into Vale (VALE - Get Report): Shares are up more than 200% from a year ago, and the options action continues to be bullish on the Brazilian metals and mining company. Volatility index plummets toward 20: The October VIX settlement comes in under 21 as the index continues its apparent free-fall. The spot reading is down 3.35% to 20.20. Raising speculation to an art form: The qualities and rules that aid in trading success appear to be timeless, as is clearly pointed out in "Speculation as a Fine Art and Thoughts on Life." DRJ sees evidence of recovery: From the crowded lots at O'Hare to the dramatic rise in hotel rates in New York City, Jon says you don't have to be an economist to see a recovery is indeed taking hold. Wednesday Pre-Market: Is rotation out of indexes on the way?: It is entirely possible that we could see a rotation out of indexes and into the best-performing individual stocks. That, in fact, is how indexes fail at ends of bull runs.
Sector detector sees telecom on top: This week's "SectorCast" index is telling us that telecom has the highest score of 87, followed by consumer staples. Here are some possible trading strategies. Solitary bull goes shopping at Bebe (BEBE): Options action surged in Bebe Stores yesterday as a lone bull got long in the fashion retailer with March contracts. Bearish snapshot of Eastman Kodak (EK): The photography icon is down 60% in the last month, and yesterday's options action was looking for further declines. Skechers USA (SKX - Get Report)play is a lesson in hedging: The shoe retailer has been rallying straight up all month, and one trader has crafted a way to make money regardless of which way it moves next. Heavy put buying in Allegiant Travel (ALGT - Get Report): The heavily shorted airline took off Tuesday, rallying as much as 7.2%, and some traders positioned for the stock to return to earth. Housing, oil, Fed reports on agenda: The MBA Purchase Applications, EIA Petroleum Status Report, and the Fed's Beige Book are scheduled, as well as three speeches by Fed officials. -- Reported by David Russell for OptionMonster in New York.