OptionsHouse

Options Trading News

April 4, 2014  Fri 11:25 AM CT

EGO: SEE CHART GET CHAIN FIND STRATEGIES
At least one trader apparently believes that Eldorado Gold will hold today's bounce.

optionMONSTER systems detected the sale of 5,500 July 6 puts, with blocks of 2,195 and 1,762 going for $0.46. This is clearly a new position, as the volume is well above the strike's previous open interest of 1,248 contracts.

The put seller sees EGO holding above $6 through expiration in mid-July. If the stock falls below that strike price, the trader faces the obligation to buy shares at that level. (See our Education section)

EGO is up 4.41 percent to $6.03 in midday trading. The mining company traded up to $7.50 in mid-March but down at support around $5.60 through most of last week.

Total option volume in EGO has already surpassed 8,400 contracts, more than double its full-session average for the last month.
Share this article with your friends


Related Stories

EGO

Will Eldorado Gold decline this week?

September 12, 2016

The gold miner has fallen 20 percent in the last three months, and a short-term trade is positioning for more potential losses.

EGO

Call selling sees ceiling in Eldorado Gold

September 6, 2016

The gold miner is down 28 percent in the last three months and is expected to report earnings in pre-market hours on Oct. 28.

OptionsHouse

Premium Services

Education & Strategy

Continue to melt up? Think debit call spreads

The U.S. equities market is continuing to melt up. Even though the labor market is stagnant, the Fed keeps hinting that a short term interest rate hike is coming sometime soon.

View more education articles »