Options Trading News

February 13, 2013  Wed 11:08 AM CT

A large call strategy tops today's option activity in the iShares U.S. Real Estate Fund.

optionMONSTER systems show that a trader sold 5,300 September 70 calls for $1.44 against open interest of more than 16,500. At the same time, he or she bought 5,300 January 70 calls for $1.97 in volume that was above the previous open interest of 1,280 at that strike, so that is a new position.

This could be a roll, with the trader closing the position in September and moving it out to January to buy more time. It could also be new calendar spread looking for the IYR to remain in a range around $70 for the coming months. (See our Education section)

The IYR is up fractionally now, trading at $68.45. The exchange-traded fund reached $68.64 this morning, its highest since June 2008.
Share this article with your friends

Related Stories


Investor expands real-estate turf

September 22, 2015

The iShares U.S. Real Estate Fund has been climbing off lows from early this month, and one large investor is doubling a bullish position.


Premium Services

Archived Webinar

Education & Strategy

The covered call and unhedged risk

I have written a few things on the Covered Call Strategy over the last two weeks. Please understand that those two previous articles plus this one do not constitute a proper, fully in-depth lesson on the Covered Call Strategy like we have in our classes at Option Monster Education. I have picked out a few topics that I believe were worth noting and today I am going to add the final one.

View more education articles »