NEW YORK (MarketWatch) -- China issues the first of its long-awaited licenses for third-generation mobile phones, with the licenses going to three state-owned mobile phone operators, state-run Xinhua news agency said.

Here's how to make it go away.

At last! Government agency MIIT hands out 3G licenses to China Mobile, China Telecom, and China Unicom

China Mobile Ltd (NYSE: CHL) said recently it has signed a lease agreement with its parent China Mobile Group. The 1 year deal involves China Mobile paying RMB600 million for leasing ... more

Positive start to the new year for Chinese players as country's State Council gives the go-ahead for the award of 3G licenses

Filed under: Options

Nippon Telephone (NYSE: NTT), a Japanese based telecommunications company, closed at $24.17 Thursday. NTT January option implied volatility of 60 is above its 26-week average of 35 according to Track Data, suggesting larger price movement.

China Telecom (NYSE: CHA), a provider of wireline telecommunication services in China, closed at $39 Thursday. Goldman Sachs has a Sell rating on CHA. CHA overall option implied volatility of 91 is above its 26-week average of 60 according to Chicago, suggesting larger price movement.

Deutsche Telekom (NYSE: DT), Europe's largest telecommunications carrier by sales, closed at $13.99 Thursday. DT January option implied volatility of 54 is above its 26-week average of 48 according to Track Data, suggesting larger price movements.

Telmex (NYSE: TMX), an operator of wireline telecommunication systems in Mexico, closed at $17.28 Thursday. TMX December option implied volatility of 66 is above its 26-week average of 49 according to Track Data, suggesting larger price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Options Update: Global Telecom providers volatility elevated; NTT, CHA, DT, TMX originally appeared on BloggingStocks on Fri, 05 Dec 2008 10:10:00 EST. Please see our terms for use of feeds.

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Now that we have broken down out of the consolidation zone in each of the major indexes, it is highly likely that we have a significant downward move ahead. Given recent volatility, we could see a headfake rally virtually anywhere. However, we have broken through lows that were tested on multiple occasions, and are in a clear downtrend, both long- and near-term. We have lower to go in the immediate future. In this volatile market, I am having more success trading options than equities. This is a personal style thing, and relates to my relatively tight stops on equity trades. I tend to accumulate a much larger number of small options positions gradually over time. Because they are small, I do not get anxious when they go they wander in the wrong direction, whereas I get very anxious when my equity trades do not work immediately. So mainly this is my own personal emotional issue, and I work to design my trading routine to minimize the emotional component. In this[More...]

Now that we have broken down out of the consolidation zone in each of the major indexes, it is highly likely that we have a significant downward move ahead. Given recent volatility, we could see a headfake rally virtually anywhere. However, we have broken through lows that were tested on multiple occasions, ...

I went through a lot of charts this evening, and came out of the experience feeling quite bearish. A half trillion dollar stimulus package in China prompted brief buying on Monday morning, but since then we have seen steady selling. Perhaps we are revisiting the scenario of forced selling by hedge funds ...

I went through a lot of charts this evening, and came out of the experience feeling quite bearish. A half trillion dollar stimulus package in China prompted brief buying on Monday morning, but since then we have seen steady selling. Perhaps we are revisiting the scenario of forced selling by hedge funds and mutual funds. Whatever the case, the sellers are in control here, and I see few stocks I would consider buying. Despite the selling, there remains considerable bullish sentiment, I assume because "stocks are cheap". <br[More...]

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