Market Overview
The S&P 500 notched a record-high close on Thursday (Aug 13), fueled by advances in Sandisk and other heavyweight technology stocks, as tame producer price inflation data supported expectations the Federal Reserve will not raise interest rates at its September meeting.
Regarding the options market, a total volume of 61,263,758 contracts was traded, of which 60% were call options.
Top 10 Option Volumes
Top 10: NVDA, TSLA, SPCX, MU, AAPL, INTC, SMCI, NFLX, PLTR, VIX
Source: Tiger Trade app
SUPER MICRO COMPUTER INC rose 4.12% after blow‑out fiscal Q4 earnings and multiple analyst target upgrades. Its adjusted EPS of $1.70 far beat consensus, gross margin nearly doubled year‑over‑year. Fiscal Q1 and full‑year revenue guidance greatly exceeded market estimates. Options activity reflected strong bullish bets on further gains.
A directional call-buying combination with a net debit of $7.46 million was the largest displayed trade, and it reflects an aggressive upside bet on a substantial move in SMCI. The structure consists of buying the $30.00 call expiring August 21, 2026 and buying the $35.00 call expiring September 4, 2026, with both strikes in the money versus the $39.16 reference stock price. As a same-direction double-long call combination, this is a premium-paid strategy rather than premium collection, and the $7.46 million net debit shows traders were willing to commit significant capital for leveraged bullish exposure across two expirations, likely targeting continued upside with added convexity. SMCI 20260821 30.0 CALL SMCI 20260904 35.0 CALL
Source: Tiger Trade app
Unusual Options Activity
Micron Technology gained 4.23%, riding the storage sector rally. Major institutions including JPMorgan, Citi and Deutsche Bank boosted Micron holdings in Q2. UBS lifted HBM price‑growth forecast and kept a Buy rating, while Mizuho reiterated Outperform. $22‑billion long‑term supply deals and limited new capacity until 2028 underpin tight supply conditions.
A PUT buy worth $99,500.00 targeted the $850.00 strike expiring on 2026-08-14, making it an out-of-the-money bearish position with MU referenced at $949.83. This single-leg trade reflects downside speculation or portfolio protection, as the buyer paid premium for puts that would gain value if the stock weakens materially over the coming year. MU 20260814 850.0 PUT
Source: Tiger Trade app
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Risks
Implied volatility typically contracts rapidly after earnings, a phenomenon commonly referred to as IV crush, which can significantly reduce the value of long option positions even if the stock moves in the anticipated direction. In addition, time decay accelerates as options approach expiration. Investors should carefully assess the risk profile of any options strategy before establishing positions.
Disclaimer: This analysis is based on publicly available market data and is provided for informational purposes only. It does not constitute investment advice. Options trading involves substantial risk, and investors may lose more than their initial investment.