Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Walter Energy
So what: The $3.24 billion offer to buy Western Coal has led to thoughts that Walter may eventually become a takeover target. Call options volume was extremely high, as investors speculated that Walter would move higher.
Now what: There isn't any real news about a buyer coming after Walter, and I prefer not to buy this stock based on rumor and speculation. Plus, a hot day like today isn't my favorite point to enter a stock. Once the market settles down, I might be more interested in looking at this as a long-term investment; for now, I'll leave it to the speculators.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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