tradeMONSTER: Trade free for 90 days

Options Trading News

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. 
Share this article with your friends


tradeMONSTER: Trade free for 90 days

Premium Services

Archived Webinar

The Art of Trading: Forgiving the Spread

Education & Strategy

Know thy Greeks!

One of the most important roles played by the Option Pricing Model is the calculation of an important family of...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER