Eldorado Gold seen holding gains
Chris McKhann | [email protected]
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.