Symantec has shot back toward its 52-week highs after reporting earnings results last week, and one large trader is repositioning for more gains.
optionMONSTER's Heat Seeker tracking system detected the sale of 10,000 January 19 calls for $0.85 and the purchase of 10,000 April 20 calls minutes later for $1.09. Volume was below open interest in the January options but above it in the April strike.
This indicates that a trader is rolling long calls forward, closing the initial position and opening a new one at the higher strike price. The trader paid a net $0.24 for an additional three months for the revised strategy, which is looking for the stock to gain more than 8 percent by expiration in mid-April 2013. (See our Education section)
SYMC rose 2.86 yesterday to close at $18.71, a penny off its session high and approaching its 52-week high of $19.54 reached on Sept. 14. The security-software maker gapped up through its 50-day moving average last Friday after reporting its quarterly earnings.
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