Wells Fargo (WFC) and JPMorgan (JPM) beat earnings estimates. Positive options flow called this correctly. On Monday, Charles Schwab (SCHW) reports and the flow is bearish. On Tuesday before the open, Goldman Sachs (GS) reports earnings. The options flow is bullish and has turned sharply higher in the past week.
Intel (INTC) and AMD (AMD) have preannounced weaker results. PC shipments are expected to decline in 2012 for the first time in 11 years according to IHS. IBM reports on Tuesday after the close and the options flow has been bullish but weakening.
In DaVita (DVA), Berkshire Hathaway which already owns a 10% stake increased its holdings yesterday buying another ~68,000 shares. Options flow on DVA has been bullish over the past month. Over the past twelve years, DVA has appreciated from $2 to $110.
In Barnes & Nobel (BKS), there was a buyer of 13,000 Jan 20 calls. The calls were purchased after the CEO made positive comments about the Nook.
Market makers continue to have a bullish bias on the S&P 500 with a positive net delta position.