Learn the trade here. Make it on tradeMONSTER

Options Trading News

October 23, 2012  Tue 2:14 AM CT

EEM: SEE CHART GET CHAIN FIND STRATEGIES
The iShares Emerging Markets Fund rose yesterday, but a long-term strategy is bearish.

The EEM closed at $41.90, up 0.96 percent but not quite matching its morning highs. Shares of the exchange-traded fund are in the middle of their range of the last five weeks.

A trader bought 10,000 September 2013 28.50 puts for $2.88 and sold 10,000 September 2013 45.50 calls for the bid price $1.96, according to optionMONSTER's systems. Open interest at the two strikes was 53 and 1 respectively, so this is a new combination trade.

The bearish position cost $0.92 to open, which would be lost if the EEM remains between the two strikes, with further risk above $45.50. This could also be a collar on long shares, protecting against a possible move lower. (See our Education section)

The option volume topped 217,000 contracts, essentially split between calls and puts. That compares to the daily average of 111,000.
Share this article with your friends


Related Stories

EEM

Midday index, ETF option volumes

September 30, 2014

Total option volume is back to average at 5.3 million so far today, with relatively bearish sentiment still showing in the primary indexes and ETFs, according to optionMONSTER data systems.

EEM

Midday index, ETF option volumes

September 26, 2014

Total option volume is above average at more than 6 million contracts so far today, with the big indexes and ETFs making up most of the action, optionMONSTER data systems show.

EEM

Midday index, ETF option volumes

September 22, 2014

Total option volume is running strong to start the week, already closing in on 7 million contracts near midday trading, with bearish action in the primary indexes and ETFs.

EEM

Midday index, ETF option volumes

September 19, 2014

Total option volume is again well above average at 6.7 million so far today, with mixed sentiment showing in the primary indexes ETFs, according to optionMONSTER's data systems.

EEM

Huge trade sees EEM holding firm

September 19, 2014

An enormous put sale is looking for shares of the iShares Emerging Markets Fund to hold firm through the end of next month.

Premium Services

Archived Webinar

Options on Futures are Still Options

Education & Strategy

When to go in or out of the money

Some of our subscribers recently asked how to gauge positions that are in or out of the money, so I...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER