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May 7, 2013  Tue 9:40 AM CT

LOW: SEE CHART GET CHAIN FIND STRATEGIES
Lowe's is pulling back from an all-time high today, but one trader is betting that the home-improvement retailer will hold at current levels.

optionMONSTER systems detected the sale of two blocks of 3,000 June 39 puts for $0.88 and $0.87. The previous open interest had been just 894, so that was a new position.

The put selling is a bet that LOW will hold above $39 through expiration in mid-June. If it does not, the trader will face the obligation to buy the shares. (See our Education section)

LOW is down 1.05 percent to $40.38 after hitting a lifetime peak of $41.14 this morning. Shares were below $39 last week and under $32 in November.

Total option volume in the name has already reached 10,000 contracts so far today, topping its total daily average in the last month. 
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Options Academy: Ron's Risk Calculation--A Real Life Example

It is rare that I get a chance to give a real-life, real-time example in my articles that the readers were not only following but were actually involved in at the time the event is happening. Well, that is where we are right now in our QQQ trade from last week. Let's recap the trade itself.

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