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February 28, 2013  Thu 2:14 AM CT

MT: SEE CHART GET CHAIN FIND STRATEGIES
ArcelorMittal is down sharply this year, but one trader apparently believes that further downside will be limited.

optionMONSTER systems show that a trader sold 2,300 September 13 puts in one print for $0.87 yesterday. This is clearly a new position, as open interest in the strike was just 78 contracts before the session began.

The put selling is a bet that MT will hold above $13 through mid-September. If the stock falls below that strike price, the trader will face the obligation to buy the shares. (See our Education section)

MT rose 1.94 percent to $15.21 yesterday, bouncing from its lowest close since November in the previous session. Shares of the Luxembourg-based steel and mining company have been falling for the last month since testing resistance at $18, the same level where the stock traded on the first day of 2013. 
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Both break outs and a break downs need to have a couple things happen before it is considered a confirmed break out or break down by technical definition!  The only problem is that in today's market where things move much more quicker than they did just a few years ago, two days could wind up being the majority of the expected movement, if not the whole movement.

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