Ted,
There are a lot of "forces" moving this stock around. For example, January options expire in three days. The last time I looked, the greatest open call interest for January expiry was $75, and the greatest open put interest was $70. The writers of those contracts want the price to stay between $70-$75. That's only one of many possible factors influencing the USRX stock price in the short term.
Interestingly enough, looking ahead to February expiry, the puts want it above $75, and the calls below $80, again judging be the strike with the greatest open interest. Of course, that could change any time as option traders roll over into February positions.
In my opinion, it's best not to look at it from the perspective of the buyer of options, but rather the writer. That's where the big bucks and MM weigh in.
The stock and options of USRX are probably some of the most actively traded and heavily arbatraged equities around. There are plenty of "reasons" why it goes this way and that, almost too many. |
