Your intraday options trading update.

Traders Go BATS for New Options Exchange

International trading exchange operator BATS Global Markets reported today its BATS Options group earned in April a 3.5% market share of the U.S. options market, up from 2.9% in March.

While still a relatively small player in the options space, BATS options began in the U.S. about 14 months ago. In April 2010, its options volume accounted for just .20% of U.S. options trading, according to the Options Clearing Corp.

BATS is a larger player on the equity side in the U.S. with its BATS U.S. Equities group reporting an average daily volume of 747.8 million shares in April.

BATS Europe offers trading in such products as the FTSE 100 in London, the French CAC 40, the German DAX 30 and other European indices.

BATS reports it is the third largest equities market operator worldwide, following the New York Stock Exchange division of NYSE Euronext (NYSE: NYX), and the Nasdaq division of NASDAQ OMX Group (NASDAQ: NDAQ).

 

High Options Volume by Strike

Industrial SPDR (NYSE: XLI) leads volume in its Jun11 40 Call with nearly 105,000 contracts. Trades down .13 to .22. The XLI is down .51 to 37.97.

The SPDR S&P 500 ETF (NYSE: SPY) accounts for six of the 10 most active strikes, and is down 1.14 to 134.59. The top volume is the SPY May Wk 11 134 Put trading 64,114 contracts, up .25 to .45. The Weeklys expire Friday.

The Materials SPDR ETF (NYSE: XLB) trades down .81 to 39.40 and its XLB Jun11 38 Put sees about 48,000 contracts. It is up .24 to .84.

 

Major Stock Trading Volume Movers

Lots of interest in Varian Semiconductor (NASDAQ: VSEA) as it jumps 20.71 to 61.26 on more than 26 million shares. Applied materials will pay $63 a share or $4.9 billion to purchase Varian. Varian says its ion implantation systems are used in the fabrication of integrated circuits.

Ralcorp Holdings (NYSE: RAH) rises 6% to 88.46 on about 6.5 million shares as ConAgra Foods (NYSE: CAG) bids to buy it in a deal estimated at $4.9 billion, or $86 a share. RAH manufactures and markets private-brand foods in grocery stores.

Find more option analysis and trading ideas at Options Trading Strategies.

 

Stocks/Underlying – Big Daily Change in Option Volume

Varian and Ralcorp also seeing jumps in their options trading. Varian trades 27,766 options, up about 2000% from a typical day. Meanwhile, Ralcorp trades 2,352 options, up about 2300%.

The iShares Russell 2000 Growth Index ETF (NYSE: IWO) trades 5,260 options, up about 1400% as it drops 1.62 to 94.36. The IWO trades 1.19 million shares.

 

Stocks/Underlying – High Option Volume

SPY trades about 1.2 million contracts while daddy S&P 500 Index Options (CBOE: SPX) sees more than 233,000 options traded on the index as it falls 10.68 to 1345.94.

The iShares Silver Trust (NYSE: SLV) trades 752,722 options, as it falls further, coming in at 38.39, down 2.19. Big brother SPDR Gold Trust (NYSE: GLD) trades abut 122,000 options as it drops 2.44 to 147.44.

About 180,517 options on the CBOE Volatility Index (CBOE: VIX) trade as it rises .52 to 17.22.

The iShares Russell 2000 (NYSE: IWM) trades 258,658 options and falls 1.20 to 83.10.

Burney Simpson is the managing editor of InvestorPlace options pages.