The signal hiding in the options chain

Yo Pit Crazies,

In December 2025, almost no one wanted energy stocks. The sector had underperformed the market all year. Everyone was chasing AI names higher, and oil sat near its lows.

My scanner said something different.

It wasn't opinion or gut feel. It was math. Specifically, it was a 40 percent jump in open interest (the total number of active options contracts) in ONEOK (OKE) in a single week, all of it piling into calls that don't expire until January 2027. That kind of accumulation in long-dated options means someone with serious money is taking a serious position and giving themselves a full year to be right.

What the Scanner Found

OKE had crossed a key threshold the scanner watches for: a 10 percent recovery off its 52-week low (its cheapest price in a year). The scanner flagged that date as December 30th.

One week later, open interest on the January 2027 calls exploded. The tens, the twenties, the 140 strikes. Accumulation across the entire upside range.

I called it in the Flash Series newsletter that week. OKE is up 18 percent since, and analysts have since flagged it as one of the most AI-disruption-proof infrastructure plays in the current energy rotation.

The scanner told me the same story on EOG Resources (EOG) in December. Natural gas producer near a 52-week low with a fresh institutional fingerprint starting to build. I called it in the Pit Report. EOG is up 14 percent since.

The Same Logic Works Across Sectors

In February 2026, I updated the scanner to filter for positive momentum after earnings. I wanted names where institutional money was building after a beat, not just sitting in beaten-down stocks.

Procter and Gamble (PG) showed up. The stock had beaten earnings and rallied the next day, which is exactly the pattern the upgraded scanner looks for. Consumer durables were quiet while the market chased AI software names. The fingerprint said otherwise.

PG is up three percent in three weeks. Not a blowout. But it is doing exactly what a stock does when institutions are quietly accumulating: it grinds.

Why This Keeps Working

When institutions take a large position in long-dated options, they can't hide it. The open interest data is public. The jump is visible to anyone who knows what to look for.

The problem is most people aren't looking. They're watching price. I'm watching what the smart money is doing before the price moves.

That's the whole idea behind Thursday's event. Hannah and I will show you the scanner, walk through how it reads fingerprints in real time, and show you what the next signals look like.

Join us tomorrow, March 19th at 7 PM ET. Completely free.

To Your Trading Success,

AG

Andrew Giovinazzi

Andrew Giovinazzi

Share This Article

Andrew Giovinazzi

Pit Report

A New Kind of Oracle

By Andrew Giovinazzi

Andrew Giovinazzi

Market Action

A Total Reversal Today

By Andrew Giovinazzi

Andrew Giovinazzi

Market Action

The Buying Opportunity of the Decade

By Andrew Giovinazzi

Andrew Giovinazzi

Insider's Edge

The Stock That Lost Half Its Value And Gained A Fan Club

By Andrew Giovinazzi

About the Author

Andrew Giovinazzi

Andrew Giovinazzi

Former CBOE floor trader and CIO at Karman Line Capital. Author of ‘The Option Traders Hedge Fund’ with over 30 years of options trading experience.

Popular Posts

Categories

Stay Updated

Subscribe to our newsletter for daily trading insights

Upcoming Events

FOMC Meeting

2:00 PM EST

Earnings Season Begins

Pre-market

Options Expiration

Market Close

NFP Report

8:30 AM EST