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December 4, 2013  Wed 4:14 AM CT

LCC: SEE CHART GET CHAIN FIND STRATEGIES
A large trader is looking for a sharp move in U.S. Airways as shares continue to slide.

optionMONSTER's Heat Seeker system detected the purchase of 16,000 June 30 calls in one print for the ask price of $0.66 yesterday on a wide bid/ask spread. The previous open interest in the strike was just 735, showing clearly that this is a new position.

Seconds before that trade, 272,000 LCC shares were sold for $22.0324. Combined with the calls, this creates a delta-neutral position that is long volatility and/or is aimed at a big move higher or lower. (See our Education section)

LCC lost another 2.82 percent to close out the day at $22.39. The airline carrier was trading above $24 two weeks ago but below $16 in mid-August.

More than 103,000 LCC options changed hands overall yesterday, double its daily average for the last month. 
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Options Academy: Ron's Risk Calculation--A Real Life Example

It is rare that I get a chance to give a real-life, real-time example in my articles that the readers were not only following but were actually involved in at the time the event is happening. Well, that is where we are right now in our QQQ trade from last week. Let's recap the trade itself.

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