Learn the trade here. Make it on tradeMONSTER

Options Trading News

February 13, 2013  Wed 2:45 AM CT

SPY: SEE CHART GET CHAIN FIND STRATEGIES
An enormous put spread in the SPDR S&P 500 Fund was the largest option trade of yesterday's session.

optionMONSTER systems show that more than 230,000 March Quarterly 135 puts and more than 90,000 March Quarterly 147 puts traded in tandem.

Before lunch a trader bought 20,000 of the 147 puts for the ask price of $1.23 and sold 40,000 of the 135 puts for $0.22. An hour later, 22,000 of the 147 puts were bought for $1.21 and 44,000 of the 135s were sold for $0.22. Finally, in the afternoon, a block of 36,000 of the 147 puts were bought for $1.15 and 108,000 of the 135 puts were sold for the bid price of $0.21.

These were all new positions, as the volume was above the previous open interest of 20,784 at the 147 strike and 46,285 at the lower strike.

This put vertical, which is also a ratio spread, is looking for lower SPY prices. The trade, which followed an earlier call ratio, takes a maximum profit if the SPY is down around $135 at that expiration at the end of March. (See our Education section)

The SPY finished the day up fractionally at $152.02, another new five-year high for the exchange-traded fund. It has been trending higher from the support at $135 in the last three months.
Share this article with your friends


Related Stories

SPY

Midday index, ETF option volumes

March 28, 2014

The total options volume is running about average with 5.3 million contracts traded, with the primary index and ETP names leading the way.

SPY

Midday index, ETF option volumes

March 27, 2014

Options volume is strong with 6.8 million contracts, and the typical Index and ETP names dominating the action.

SPY

Midday index, ETF option volumes

March 26, 2014

Total options volume is light this morning with 4.7 million contracts traded with the big name index and ETP options topping the action.

SPY

Midday index, ETF option volumes

March 25, 2014

Total options volume is above average with 6.1 million contracts, and the big Index and ETP names are topping the action.

SPY

Midday index, ETF option volumes

March 24, 2014

Total options volume is strong with 7.2 million contracts, with relatively bearish sentiment appearing in indexes and exchange-traded funds.

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Education & Strategy

Options and high-frequency trading

There has been much talk lately of high-frequency trading (HFT) and what it does--or doesn't--mean to the markets and retail...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER