GO
Loading...

Heat Seeker Suggests Dow Chemical Is Hot Stock

Jon and Pete Najarian’s heat seeker is working overtime. Their proprietary software has identified unusual activity in 3 more stocks

Dow Chemical

Pete Najarian has noticed a larger than usual volume of options trading in the Dow Chemical Feb 35 strike.

“Yes, the stocks has been on a nice big run, but people seem to expect more in the next month,” he says.

However he adds a word of caution.

“The 200-day is right around $31, $32,” he says, and it could generate resistance, though the call buying suggests the stock could break out.

----------------------

Teradyne

Jon Najarian tells us the January 16 calls in Teradyne have been extremely active; something he considers consistent with the strong bullish activity across the entire semiconductor space.

“Teradyne doesn’t report earnings until next week,” he says,” but the bulls don't care. Heat Seeker shows they’re buying now.

Symbol
Price
 
Change
%Change
TER
---

----------------------

Youku

The options activity in Youku could be a little deceiving, Najarian tells us. He’s spotted a lot of Jan call buying, but wouldn’t take the activity as a bullish bet.

Instead he thinks the activity reflects short covering and believe the upside move in the stock is over.

“I’d need to see Feb and further out options moving to believe it has more upside,” he says.

---------------------------------------------------------------------

NEW SLIDESHOW: The Biggest Momentum Stocks of 2011: Buy or Sell?

---------------------------------------------------------------------




______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment, but not have it published on our Web site, send those e-mails to fastmoney@cnbc.com.


Trader disclosure: On Jan. 19, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders: P. Najarian is long AAPL calls; P. Najarian is long BAC calls; P. Najarian is long C; P. Najarian is long MS calls; P. Najarian is long MSFT; P. Najarian is long INTC; J. Najarian owns AAPL; J. Najarian owns AKS; J. Najarian owns GS; J. Najarian owns NFLX; J. Najarian owns CDR; J. Najarian owns JNPR; J. Najarian owns EBAY; J. Najarian owns MSFT; J. Najarian owns KBH; J. Najarian owns XHB; Weiss is long BRCM; Weiss is long SNDK;
Weiss is long ETP; Weiss is long EUO; Weiss is long QCOM; Weiss is long F; Weiss is long GM; Weiss is long CSC; Weiss is long DVN; Weiss is long WLT; Weiss is long CAF; Weiss is long MOS; Weiss is long NS; Weiss is long HPQ; Weiss is long RIMM; Weiss is long WLP; Weiss is long SVU; Weiss is long MDRX; Weiss is short FXA; Kelly is long XHB; Kelly is long USG; Kelly is long MHK;

For Colin Gillis
GOOG - Investment banking (next 3 months): BGC Financial LP and/or its affiliates, expect to receive, or intend to seek, compensation for investment banking services within the next three months from all of the companies referenced within this report.
Lead or Co-manager: BGC Financial LP and/or its affiliates, has not acted as lead or co-manager in a public offering of equity and/or debt securities for Google within the last 12 months. BGC Financial LP and/or its affiliates has not received compensation for investment banking services in the last 12 months from Google.

(AAPL) Investment banking (next 3 months): BGC Financial LP and/or its affiliates, expect to receive, or intend to seek, compensation for investment banking services within the next three months from all of the companies referenced within this report.
Lead or Co-manager: BGC Financial LP and/or its affiliates, has not acted as lead or co-manager in a public offering of equity and/or debt securities for Apple within the last 12 months. BGC Financial LP and/or its affiliates has not received compensation for investment banking services in the last 12 months from Apple.

For David Grossman
Stifel, Nicolaus & Company, Inc. expects to receive or intends to seek compensation for investment banking services from International Business Machines Corp. in the next 3 months.
Stifel, Nicolaus & Company, Inc. makes a market in the securities of International Business Machines Corp.

For Willie Williams
No disclosures

For David Goldberg
(DHI) This company/entity is, or within the past 12 months has been, a client of UBS Securities LLC, and non-investment
banking securities-related services are being, or have been, provided. . Within the past 12 months, UBS Securities LLC has received compensation for products and services other than investment banking services from this company/entity.

(KBH) UBS AG, its affiliates or subsidiaries beneficially owned 1% or more of a class of this company`s common equity securities as of last month`s end (or the prior month`s end if this report is dated less than 10 days after the most recent month`s end).
UBS Securities LLC makes a market in the securities and/or ADRs of this company.

(LEN) UBS AG, its affiliates or subsidiaries has acted as manager/co-manager in the underwriting or placement of securities of this company/entity or one of its affiliates within the past 12 months. 4. Within the past 12 months, UBS AG, its affiliates or subsidiaries has received compensation for investment banking services from this company/entity. UBS AG, its affiliates or subsidiaries expect to receive or intend to seek compensation for investment banking services from this company/entity within the next three months.

(MTH) Within the past 12 months, UBS AG, its affiliates or subsidiaries has received compensation for investment banking services from this company/entity. UBS Securities LLC makes a market in the securities and/or ADRs of this company.

CNBC.com with wires.

Symbol
Price
 
Change
%Change
DOW
---
TER
---
YOKU
---

Featured

Contact Halftime Report

  • Showtimes

    Halftime Report - Weekdays 12p ET
    Fast Money - Weekdays 5p ET