Gold miners fund draws put seller
Chris McKhann | email@example.com
optionMONSTER systems show that 2,400 September 45 puts were sold for $0.70. There was no open interest at this out-of-the-money strike, so it is a new position.
This put seller has an initial bullish bias but is really just looking for the NUGT to remain above $45 through expiration in mid-September. (See our Education section)
The NUGT, which is designed to deliver triple the performance of the NYSE Arca Gold Miners Index, fell 8 percent to $77.73 yesterday. It was above $105 on Tuesday but bounced off support at $50 at the beginning of the month. The fund just underwent a 10-to-1 reverse split to keep it from dipping too low.