AMLN has been relatively stable recently. This is evidenced by the width of its Bollinger Bands which are tighter than normal. Additionally, AMLN is trading within its Bollinger Bands. This is a normal condition and suggests that the stock is neither overbought nor oversold relative to the recent price action.
That said, depending on your downside risk, you can write June strike 10 for an intrinsic time value of .25/share againat the current underlying shares. If you your portfolio can sustain a shorterm unrealized loss, get more aggressive with June strike 12 calls; theyre offering .70/share in premium.
Today, the proxy fight is heated. Activist Ichan is pitbull! He is gonna fight to have 3 new memebers on the the Baord of Excutives who favor spliting AMLN into companies: one that concentrates on neurological drug pipeline and theother on cancer drug agents. As a medical doctor, I couldn't agree more.