Hey Traders,

Here’s today’s Delta Strike Watchlist.

US Global Jets ETF (Ticker: JETS): A trader that was right sold to close the JETS Dec 16 puts and then bought to open the Dec 16 put expecting further declines in the airline sector.

Morgan Stanley (Ticker: MS): MS reports earnings on Tuesday morning. This trader is expecting a move bigger than what is currently priced into the options as they bought the ATM puts tied to stock. This is a play on movement more than direction.

Bank of America Corp (Ticker: BAC): Untied, a trader bought 12500 of the BAC Dec 25 puts and sold the 27 calls. This was an opening trade the day before earnings and points toward some potential downside. When combined with the MS trade, things might be interesting in XLF on Tuesday.

Comcast Corporation (Ticker: CMCSA): This one was an eyebrow raiser. A trader bought to open 30k 43.5 puts expiring on Friday and bought stock delta neutral. Options are about a 30 delta so the trade leans bearish.  Maybe a warning coming from the company?

eXp World Holdings Inc (Ticker: EXPI): EXPI has earnings on the 1st, and a trader bought 5k of the 12.5 puts paying .65 in December. These were untied, and the trader is potentially looking for some downside on a stock that is down 40% since August.

Your Only Option,

Mark Sebastian