Monday, October 19, 2009

Au Contraire "Option Skews - Relatively Heavy Put Activity on Trina Solar Limited" (TSL)

Trina is trading up 4 1/2% at 34.50. Trina is pretty far down on Shaeffer's list but I thought I'd point it out and quote some of their thinking:
Here are the stocks that saw a bias toward put activity in the previous session. This filtered scan is based on the International Securities Exchange (ISE) buy-to-open data. It looks for stocks where the previous day's put volume on the ISE is at least twice as great as the call volume. It then sorts the stocks based on the put volume. Since this is buy-to-open data, this can be a good source for finding stocks where skepticism is emerging. Of particular interest to me would be situations where we see put activity on stocks that are still in intermediate-term uptrends. This would be a potentially encouraging sign from the contrarian perspective....

...The weekly chart of Trina Solar is worth a look. The stock has overtaken resistance near 25 amid a steady uptrend....MORE