By Mike Yamamoto
Hewlett-Packard (HPQ) saw an enormous bullish trade near the end of Friday's session.
In the final hour of trading, optionMONSTER's Heat Seeker system showed that 47,990 calls changed hands at the November 70 strike in a strong buying pattern against no open interest. The vast majority of the buying took place in a single print of 45,449 calls at $0.25.
HPQ closed Friday down 0.45 percent to $53.87. This month the stock has broken decisively through the $53 level, which had served as resistance going back to late 2007. Technical traders may believe that the stock has the potential to revisit the all-time highs approaching $80 that culminated the company's huge run during dot-com boom.
On Thursday the computing giant was reportedly scheduled to disclose major advances in "memristor" technology invented in the 1970s that can replace standard transistor switches at an atomic scale. Hewlett-Packard is scheduled to release its next earnings report on May 18.
For the calls purchased Friday to turn a profit, the stock would need to rise some 30 percent by the Nov. 19 expiration.
(Chart courtesy of tradeMONSTER)
