Key Options Activity to start the New Year, 2023

Tom Gentile

Posted in
Daily Report

By: Tom Gentile
January 3rd, 2023

2 mins read

Tomorrow is the last day of the pattern known as the Santa Claus rally, which is the last 5 days of a year and the first two trading days of the new year.

Where Santa has much work to do to end up positive over this amount of days in the pattern, one can also say the stock market has much work to do to recover from a bearish 2022.

We will educate you all more of what we see for the stock market, the different sectors of the market and then stocks within those sectors as the year progresses.

To start the year let’s get a look at the options activity from our Morning Reports Lists to see where options traders are hanging out to start 2023.

Take a look at these lists and you will see they are categorized by different perspectives.

These are not recommendations as we are not a brokerage firm, nor am I or any of my team taking the role of a Registered Investment Adviser (RIA).

We do encourage you all who have access to these lists in my software, to discuss with your RIA’s or brokers to see if they fir the suitability for you in your portfolio and your short and or long-term financial goals.

Morning Report Lists

Image 1
Image 2

Interesting What is Shown on Apple, Inc. (NASDAQ: AAPL)

The Highest Option Open Interest and Highest Option Volume lists show an AAPL put option at a different strike.  Puts suggest a bearish viewpoint on AAPL.

But if you look at the Unusually High Call Option Volume list it shows an AAPL call option.

This suggests maybe there is a contrarian view on some option traders that despite the bad news on Apple, Inc. today and the fact it traded down 3% on an intraday basis.

Contrarian View

A contrarian view is one that goes against the majority or prevailing opinion of the masses.  Where everyone thinks a stock will trade down, and data suggests things may not go well for the stock, a contrarian thinks the majority nay be wrong and they go the opposite way.  The anticipation is the majority will be proven wrong or maybe that some will change their opinion and when the buying steps back in their options or stock will trade higher eventually.

App: Toms Option Tools

Market Insight articles may show images of lists of stocks meeting a variety of options parameters like Unusual Call and or Put activity or Expensive IV found on my app Toms Option Tools.

Other times I will have other charts may work to amplify my educational points. 

Those options data lists, however, can be found on my app Tom’s Option Tools. Use your device to search up and download this app and get free access to the Morning Reports section of the app.

Other parts of the app are available at a premium subscription rate, but the Morning Reports Lists are yours free.