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November 19, 2013  Tue 4:45 AM CT

Someone apparently believes that Constellation Brands will keep going and going.

optionMONSTER's Heat Seeker monitoring system detected the purchase of 3,000 April 70 calls for $4.10. He or she also sold equal-sized blocks in the April 65 puts for $2.55 and the April 80 calls for $1.05. Volume was more than 5 times open interest at all three strikes, indicating that new positions were initiated.

It cost $0.50 to open this trade, which will expand to $10 if the alcoholic-beverage stock closes at or above $80 on expiration. But he or she must buy shares for $65 if they fall below that level by expiration in mid-April, so the trade carries downside risk.

STZ was up 0.13 percent to $69.23 yesterday and has risen 95 percent so far this year as investors have cheered its acquisition of import rights for Corona beer.

Yesterday's strategy combines short puts with a vertical call spread to provide the investor with extremely cheap upside exposure. They also apparently see little downside risk. (See our Education section)

Total option volume was 9 times greater than average in the session, according to the Heat Seeker.
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