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February 27, 2013  Wed 10:00 AM CT

ODP: SEE CHART GET CHAIN FIND STRATEGIES
A trader is looking for shares of Office Depot to calm down after wild volatility last week.

optionMONSTER systems detected the sale of 10,000 July 4 calls for the bid price of $0.45 this morning. This is clearly a new position, as open interest in the strike was 6,196 contracts before the day's trading began.

Seconds later, 600,000 ODP shares were bought in a single print for $4.08. The combination of stock and short calls creates an overall delta-neutral position that is looking for lower volatility, rather than a directional bet. (See our Education section)

ODP is up fractionally at $4.02 after settling down around this level in the last five trading days. The office-supply retailer was hovering around $4.40 in the previous three weeks before popping above $6 briefly last Wednesday amid quarter results and reports that it would merge with rival OfficeMax. Shares hit a low of $1.51 in August.
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