The WSJ observes the number of Twitter call options outstanding surpassed the number of put options outstanding for the first time on Monday, even as shares continued to dive. January $85 and $90 calls (expire Jan. 17) are especially popular.
With Twitter's options carrying steep premiums, MKM's Jim Strugger suggests longs hedge their bets by selling calls. "Anyone coming in here and just buying calls or puts could get smoked, even if they're directionally correct."
Twitter shareholder GSV Capital (GSVC +2%) is also rebounding a bit.