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Human Genome Sciences, Marvell Technology and Huntsman shares up during the first hour of trading Thursday.
Jud Pyle is the Chief Investment Strategist for Options News Network. After four years with SBC Warburg, he joined PEAK6 Investments as an equity options trader and chief risk officer.
Human Genome Sciences (HGSI) shares are up $1.62, or 6%, to $29.08 this morning. The stock is on the move after the company priced 15.5 million shares at $26.75 per share, potentially because this price was higher than people expected, and the company sold 3 million more shares than initially planned. It looks like a put seller boosted volume in the January 24-strike puts, which have traded 13,000 times this morning. Additionally, the January 31 calls have traded 10,0000 times. The January 30 straddle is currently trading at a 50-volatility.
Marvell Technology (MRVL) is due to announce earnings tonight after the market closes, and the stock is currently up 11 cents to $16.64. The February 16 puts have traded 5,000 times, and it looks like at least one investor is preparing the earnings announcement by buying puts for downside protection. These options have an implied volatility 46
Huntsman (HUN) shares are up 56 cents to $10.48 this morning. Take-over chatter has resurfaced for HUN. The December 10 calls have traded more than 14,000 out of the gate, and they have also gained 50 cents this morning. HUN is not expected to announce earnings figures until sometime around February 25.
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