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April 9, 2013  Tue 12:20 PM CT

Akamai Technologies gapped lower in February, and now the bears are looking for the bottom to fall out.

optionMONSTER's Depth Charge tracking program detected the purchase of 2,354 May 33 puts for $1.49 and 2,354 May 40 calls for $0.61. An equal number of May 37 calls was also sold for $1.25, resulting in a net cost of $0.85.

The strategy is highly bearish and will make money on a break below $32.15. It will also force the trader into a short position over $37, so he or she bought the 40 calls to hedge that in a so-called collar.

AKAM is up 0.61 percent to $34.70 in afternoon trading but is down about 15 percent so far this year. Most of that decline came on Feb. 7 after the Internet-caching company's revenue missed estimates and management issued weak guidance for the current quarter.

The stock bounced immediately after the report but then slammed into resistance at its 100-day moving average and has been trending lower since. The next release is scheduled for the afternoon of April 24, and today's strategy will make money if the shares fall again.

Total option volume is more than twice the daily average in the company so far today, according to the Depth Charge.
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