Intel has been holding near its 200-day moving average, and yesterday the chip maker saw steady and impressive upside option action.
The November 24 calls lit up early, trading in size for $0.44 and followed by a large chunk that went for $0.62. About 19,500 contracts traded in volume well above the strike's previous open interest of 3,938, showing that new money was put to work.
These calls lock in the price where the semiconductor stock can be bought, letting investors cheaply position for a rally. They can also generate some nice leverage from even a small movement in the underlying share price.