Will Bank of America Ramp Higher?

Shares of Bank of America

are trading higher on the session by 0.32%, at $6.21. Shares have been under severe pressure for the past three months (losing nearly half of their value), but traders are betting that a rally could ensue this week. Within the first 20 minutes off trading, the October $7.00 call has traded over 25,000 times on open interest of 160,053 contracts. 92% on the volume has occurred on the offer, meaning that traders are paying up to buy the contracts. This could be all-out bull buying or a hedge against a freakish move higher for short holders. Either way, there are traders buying nominally cheap upside calls that will expire in 6 more trading days; this is always something to take notice of. Note that Bank of America has 2.01% short interest, some 20 million shares. Bank of America Corporation is a bank holding company, and a financial holding company. Bank of America is a financial institution, serving individual consumers, small and middle market businesses, corporations and governments with a range of banking, investing, asset management and other financial and risk management products and services.