"Check out the April 30 call and put activity. Looks like someone wrote 500 calls and bought the puts for a debit of 5/8's ($31,250)."
Hi Brian,
Yeah, that was me.
No just kidding. I did decide to go short though, bought puts actually. I can't believe Greenspan will cut, can't believe market can go back up thru 9000 this easily, and think WinStar has to go back and fill the gap in the chart in the low 20's.
Yep, looks like someone bet big.
It looks like 1000 puts were bought at the same price at the same time. Actually, short 500 naked calls and long 1000 puts is almost like short 150,000 shares isn't it? Since you don't know the stock position, it's hard to guess what they were doing. They could be long 50,000 shares, sold covered calls, and bought the puts for protection, but that doesn't seem to make much sense. They do look to get hurt big time if the stock moves up though. (This was type of position Jason told us he put on last summer, short calls and long puts. Very risky).
PS Whoops, sorry, CEO beat me to it. |
