The security could today topple long-term resistance
Unlike its sector peer Walmart (WMT), retail stock Macy's Inc (NYSE:M) is surging today, up up 5.7% at $13.33. The department store operators' third-quarter earnings easily bested analysts' expectations, while revenue came in above estimates as well, despite a 7.7% year-over-year dip. Contributing to this win were lower inventories and strong demand for beauty products.
Macy's stock is today trading at its highest level since August, and eyeing its first close above the 100-day moving average for the first time since March. The security has also blown past overhead pressure at the $13 level, which rejected a rally earlier this month. M is still down 35.3% this year.
So far today, 86,000 calls and 41,000 puts have crossed the tape, volume that's seven times the intraday average amount. Most popular is the November 14-strike call, with the 14.50-strike call in that same series not trailing far behind, and new positions opening at both.
Options traders have been bullish of late, per the security's 50-day call/put volume ratio of 2.71 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits higher than 84% of readings form the past 12 months.