Friday morning, the good folks at JPMorgan Chase (JPM) kicked off a wave of quarterly reports from the banking sector. Next week, we'll hear the latest earnings results from the likes of Citigroup (C), Goldman Sachs (GS), and Wells Fargo (WFC), just to name a few.

Of course, the biggest bank in the nation -- Bank of America (BAC) -- also has a quarterly report on deck. Ahead of next Friday's fourth-quarter release, one speculator opted to construct a high-volatility options strategy on BAC.

Options players rushed to place their bets on The Gap (GPS) Tuesday, with volume rising to five times the norm within the first hour of trading. Taking a closer look at the major block trades, it looks as though one speculator is anticipating a major price swing from GPS during the next year.

Specifically, the trader opened a long strangle on GPS by purchasing 2,619 January 2012 20-strike calls, and simultaneously buying 2,619 January 2012 17.50 puts. This two-legged option strategy allows the trader to benefit from a drastic move in the underlying equity, regardless of whether the shares move higher or lower.

Option volume was relatively quiet in Citigroup Inc. (C) on Tuesday, with call and put activity both falling short of the expected daily levels. However, a noteworthy volatility play crossed the tape around midday, with one long-term speculator betting on a significant price swing from the bailed-out bank.

Shortly after noon, a block of 10,000 March 2011 4-strike puts traded at the ask price, suggesting they were purchased, while a matching block of 10,000 March 2011 5-strike calls changed hands at the ask price. Open interest at both strikes swelled overnight by more than 10,000 contracts apiece, confirming these were all freshly opened positions.

If you've been watching the market at all during the past month, you probably know that "volatility" is the prevailing theme. With uncertainty on the rise among investors, one option strategist on Thursday initiated a directionally neutral bullish volatility spread on coal concern Peabody Energy (BTU).

Specifically, the trader bought to open a block of 5,000 July 41 calls, and simultaneously bought to open an equivalent number of July 38 puts. BTU was trading just shy of $40 at the time these transactions occurred, placing both options out of the money. In other words, this appears to be the initiation of a long strangle on the stock.

United Airlines parent UAL Corp. (UAUA) was singled out for a directionally neutral spread strategy on Wednesday, with one options trader betting on near-term volatility for the airline issue. Shortly after the opening bell, a block of 325 contracts changed hands on UAUA's June 24 call for the ask price of $1.32, indicating they were purchased. Simultaneously, a matching block of 325 June 16 puts traded at the ask price of $0.50, revealing these contracts were also bought.

Are shares of The Coca-Cola Company (KO) poised for a technical breakout? One options trader seems to think so -- during the course of Monday's trading, a long strangle was opened on the blue-chip soda stock. In this two-legged spread, the direction of the stock's move doesn't matter -- only its magnitude.

Specifically, a block of 422 April 52.50 puts traded at the ask price of $0.68 around midday Monday. Simultaneously, a matching block of 422 April 55 calls changed hands at the ask price of $0.46. Implied volatility rose with each transaction, and open interest at both strikes rose overnight, confirming that these were newly opened positions.

Humble restaurant chain Buffalo Wild Wings (BWLD) is scheduled to release its fourth-quarter earnings report after the market closes on Thursday, Feb. 11. Ahead of the event, analysts surveyed by Thomson Reuters are looking for a profit of 51 cents per share, up from 43 cents per share in the year-ago quarter. BWLD has an impressive history in the earnings spotlight, having matched or exceeded Wall Street's consensus expectations in each of the previous four reporting periods.

As Melly Alazraki noted earlier today, McDonald's Corp. (NYSE: MCD) is one of many heavy hitters to take the earnings stage today. Unfortunately, the fast-food firm didn't exactly impress with its latest quarterly figures; the company struggled under the weight of weak sales during the month of June, and saw its second-quarter profits slide 8% year-over-year as a result.

Specifically, the Big Mac parent raked in net income of $1.09 billion, or 98 cents per share, compared to its year-ago results of $1.19 billion, or $1.04 per share. Excluding a one-cent gain, earnings weighed in at 97 cents per share. McDonald's reported that strength in the U.S. dollar negatively impacted its quarterly results by about 9 cents per share.