Big trader sees GE staying range-bound
Chris McKhann | firstname.lastname@example.org
GE is up 0.89 percent to $19.28 today, continuing to trade in the middle of its recent range. Shares bounced off support at $18 last week after trading down from above $20 in March.
A trader sold 9,000 January 16 puts for the bid price of $0.83, optionMONSTER's systems show. The volume was almost twice the open interest at the beginning of the day, so it is clearly a new position.
In the minutes following the put sale, two of the largest blocks of GE stock traded, with 216,000 shares sold for $19.1392 and 72,000 sold for about $0.02 less than that. Combined with the short puts, this would create an overall short-volatility play focused more on range-bound trading than any specific direction in GE shares. (See our Education section)