There appears to be a lot of action on options for Amazon.com. This usually signifies investors are expecting the stock to move one way or the other. Looking at the number of calls vs. the number of puts, it looks as though Investors are split on the way they expect it to move.
Amazon.com witnessed a record number of call and put contracts during the busy trading session. There were 0.9 call contracts traded for each put contract yielding a 1.11 put/call ratio where 94,619 put and 85,577 call contracts exchanged hands.
Put/Call ratio is often used to measure investor sentiment, the ratio serves as a predictor of investor behavior. A high put/call ratio suggests that the investor sentiment is bearish and that investors expect the underlying stock to decrease in value. In contrast, a low put/call ratio suggests that the investor sentiment is bullish and that the underlying stock is expected to increase in value. Unusual volume provides reliable clues that the stock is expected to make a move.
Shares of Amazon.com slipped $10.46 (4.40%) to $227.15. The last trading session witnessed a low of $225.89 and high of $239.01 during the day. The current trading volume of 13,635,140 is greater than average volume of 6,593,420 shares. AMZN is trading above the 50 day moving average and higher than the 200 day moving average. The stock’s 52 week low is $151.40 and 52 week high is $244.00. Performance indicators show that the stock has lost -1.17% within the last month.
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