Call volume is unusually heavy on Advanced Micro Devices (AMD) today, with nearly 8,300 contracts changing hands during the first hour of the session -- easily outpacing the stock's average daily call activity of 6,774 contracts. However, the day's option volume isn't necessarily bullish in nature.

Nearly all of today's volume has taken place at AMD's January 2012 7.50 call, where a block of 8,000 contracts traded at the bid price -- suggesting they were most likely sold. This block appears to have been tied to a corresponding stock trade, which means we're likely seeing the initiation of a buy-write position.

I made some money with Microsoft (MSFT) earlier in the year. I did an earnings trade back in the summer. I also did a trade in the winter that involved covered calls. I've been thinking lately about initiating a new position in the stock.

Only problem is, we're bumping up against the new year. Microsoft did really well in 2009. It closed on Christmas Eve at $31 per share, a fresh 52-week high. It started the year priced at $20.33. You've got to love that kind of capital appreciation. Plus, the software company does deliver a stream of dividend payments to entice the patient investor. No, Microsoft isn't a grand source of yield, but in terms of total return, the stock was reasonably attractive over the past 12 months.

Every few months, it seems, we get an article or two that says Disney (NYSE: DIS) might be a buy. TheStreet.com issued an upgrade on the stock based on several metrics. SmartMoney believes Disney might be a great company for the summertime.

When it comes to Disney, every investor has to be careful. Take every analytical article with a grain of salt. Why? Because even though the fundamentals might be good on the company from a valuation standpoint, Disney's stock has disappointed investors many times in the past. As a long-term shareholder, I know what I'm talking about. And many other pundits have made the same observation: Disney always seems to be cheap to someone at any given time.

Electronic Data Systems (NYSE:EDS) opened today at $28.27. So far, the stock has hit a low of $28.17 and a high of $28.39. As of 10:13 this morning, EDS was trading at $28.34, up $0.07 (0.25%) on extremely heavy volume.

After hitting a one year low of $22.42 on July 18, 2006, the stock snaked up 26.7% to a 52-week high of $28.40 yesterday at 2:59 in the afternoon. Electronic Data Systems reported earnings last week and investors seem to like the direction the company is headed. The technicals for EDS have been strongly improving lately and S&P gives the company a 4 STAR (out of 5) buy rating with a current 12-Month target price of $32.

For a neutral hedged play on EDS, I would consider a June covered call at the $27.50 level. There is even a small dividend on the stock with a 0.7% annual yield.

Vic Schiller is an analyst on the move at Investors Observer. (Free Subscription)

DISCLOSURE NOTE: Mr. Schiller owns and/or controls diversified portfolios of long and short stock and option positions that may include holdings in companies he writes about.