Call selling hits Bon-Ton Stores
Chris McKhann | [email protected]
optionMONSTER systems show that a trader sold 2,500 July 12 calls for the bid price of $1.35 on a wide bid/ask spread. The volume was slightly more than the open interest, so this clearly is a new position.
The trader is betting that BONT won't see much upside beyond $12. It is likely that the options were sold against long shares in a covered-call position, which would be bullish up to that strike price but gives up any gains beyond that. (See our Education section)
BONT is down 1.92 percent to $11.22 this morning. The department-store operator was above $18 a month ago but has fallen to its lowest levels since early November.