United Rentals (URI) - Vol Buyer into Earnings

Discussion in 'Options' started by livevol_ophir, Mar 30, 2010.

  1. livevol_ophir

    livevol_ophir ET Sponsor

    URI is trading 9.38. Earnings are estimated for the end of April (May option cycle).

    The company has traded over 5,500 options in the first 2 hours on total daily average option volume of just 679. The May 10 calls (purchases) are the bulk of trading. All the trades are calls (zero puts have traded). The Stats Tab and Day's biggest trades snapshots are included (in the article).

    The stock has traded actively today - already 1.6 million + shares on a total daily average of 1.5 million. The stock stats are included (in the article).

    This could mean the calls are trading with stock and getting turned into straddles (or puts). Either way, this position is long vol going into earnings.

    The Options Tab (in the article) illustrates that the calls are mostly opening (compare OI to trade size). You can also see that May vol is up 2.1 points while all other months are down.

    The Skew tab (in the article) shows the divergence between the 10 strike in May and the other months - namely the 10 strike vol is rising relative to other months as the buying continues on that line.

    Finally, the Charts Tab (6 months) is below (in the article). The top portion is the stock price, the bottom is the vol (IV30&#8482 - red vs HV20&#8482 - blue). The yellow shaded area at the very bottom is the IV60&#8482 vs. the HV60&#8482 vol difference.

    You can see the run up in stock recently as well as the IV30&#8482.

    This is trade analysis, not a recommendation.

    Details, trades, skews, vols, charts, prices, stats here:
    http://livevol.blogspot.com/2010/03/uri.html
     
  2. nitro

    nitro

    LMAO!

    So all these HV60s and IV20s etc are trade marked? Oh man, toooo funny.

    You do realize that is like zero delta enforceable, right?
     
  3. livevol_ophir

    livevol_ophir ET Sponsor

    We TM b/c other firms and phrases were trademarked and their enforcement stood when we fought them. Rather than get pushed out of using any terms we decided to TM ourselves. We don't enforce, we just want to use the fricking terms without getting sued.
     
  4. nitro

    nitro

    Ok, well said. I agree.
     
  5. nitro

    nitro

    One suggestion, since you own the trademark, you can't get sued. So why have it all over the post?

    No offense, but it is really annoying, and I actually enjoy reading your posts, were it not for these tm's all over the place :mad:
     
  6. livevol_ophir

    livevol_ophir ET Sponsor

    A TM is only enforceable if it's shown on every public use. If we don't do it, someone else can take it, and then we can't use the terms, and on and on... we live in the most litigious society on the planet at the most litigious time in our history... it is what it is...
     
  7. ...I wait for the day someone in the US is suing somebody for farting, means "air pollution"...:)
     
  8. Sorry, but your going to have to use some other term than fart™. I own that one......
     
  9. I'm going to patent this

    United Rentals Near Expiration

    When Dealing with <b>URINE</b> You can hedge your exposure by buying POOP <b>P</b>retty far <b>O</b>ut <b>O</b>f the money <b>P</b>uts.
     
  10. livevol_ophir

    livevol_ophir ET Sponsor

    Actually I just trademarked English<sup>TM</sup>. Sorry guys - try another language.
     
    #10     Mar 31, 2010