http://www.stockrake.com

Vivendi is buying Activision. Well they are creating a new joint company and merging their gaming division with Activision, but will be wholly owned by Vivendi called Activision Blizzard. In case you are not familiar with Blizzard, they created World of Warcraft which is the biggest online PC game in the world.

Anyways, I bought the Dec 25 calls for .85 on November 5th and so far it has been a really tough trade to sit through. These options might have had 1 day of profitability and have been in the red ever since. With the deal news today, ATVI is set to open at 27.3 pre-market which is a 24% jump. That will put these options in the money by 2 bucks and should be a nice winner. I’ll take advantage of it and dump them in the money.

If you were a reader last week, you can see I started noticing something happening with ATVI on Tuesday and Wednesday. The buy signal was on as early as Wednesday, but it was securely on Friday before the close. That would have been overnight trade of +22% overnight. I wish I bought more myself, but I didn’t. It just shows when you have signals you have to take them.