Option update: ETFC and TTWO implied volatility suggests price movement

Posted Nov 15th 2007 9:58AM by Paul Foster
Filed under: Options

E*Trade (NASDAQ: ETFC) closed at $5.54.

ETFC announced on November 9 it expected to take significant write-downs in Q4 on its asset backed securities.
ETFC recently announced The Securities and Exchange Commission is conducting an informal inquiry of ETFC loan and securities portfolios.
ETFC December 5, 6 and December 7 call and put option implied volatility of 155 is above its 26-week average of 57, according to Track Data, suggesting option traders are initiating the purchase of options as a hedge to potential price fluctuations.

Take-Two Interactive (NASDAQ: TTWO) closed at $15.31.

Activist shareholders have been involved in TTWO, an interactive entertainment software game developer, over the last year.
Carl Icahn reported a 462,037 share position as of September 30.
TTWO over all option implied volatility of 82 is above its 26-week average of 54 according to Track Data, suggesting larger risk.

Daily options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Tags: Carl Icahn, CarlIcahn, E-Trade, etfc, Take-Two Interactive, Take-twoInteractive, ttwo