Bulls mine for gold in Buenaventura
David Russell | [email protected]
optionMONSTER's Heat Seeker tracking program detected the purchase of about 2,000 June 42 calls for $0.20. Volume was more than 16 times open interest in the strike.
The calls stand to leverage a quick move in the Peruvian gold miner, which has been drifting in a range for more than two years. The stock peaked around $42 last month, so the trader could be looking for a move back to that level. (See our Education section)
BVN gained 0.89 percent to $38.37 yesterday. Investors have recently been targeting companies in the industry, such as Seabridge Gold and Ivanhoe Mines, after selling pressures swept the group between March and mid-May.
Overall option volume in BVN was 8 times greater than average yesterday, with calls outnumbering puts by 5 to 1.