OptionsHouse

Options Trading News

July 3, 2013  Wed 10:51 AM CT

NEM: SEE CHART GET CHAIN FIND STRATEGIES
Some traders are betting against Newmont Mining's recent comeback attempt.

optionMONSTER's Depth Charge system detected the purchase of 4,000 January 22 puts for $1.17 this morning, including a single print of 3,315. This is clearly fresh buying, as open interest in the strike was just 277 contracts at the start of the session.

These puts are looking for NEM to fall below the $22 strike price by early next year. But they will expire worthless if the stock remains above that level.

NEM is down 0.98 percent to $28.89 today. The stock bounced at the $28 level last week but is still down about 50 percent from its 52-week just shy of $58 reached last September.

The gold and copper producer has been trying to recover from steep losses along with the rest of the precious-metal mining sector. The company is scheduled to report second-quarter results on July 26 and will hold its annual investor day on Aug. 1.

Overall puts in the name outnumber calls by more than 2 to 1.
Share this article with your friends


Related Stories

NEM

Traders keep rolling in Newmont Mining

July 14, 2016

The precious-metals miner has surged 30 percent in the last three months, and a large trade is anticipating even more gains by early 2017.

NEM

Traders stay bullish on Newmont Mining

July 13, 2016

The precious-metals miner reports earnings next week, but a large investor apparently believes that gains will continue through the beginning of 2017.

OptionsHouse

Premium Services

Education & Strategy

Know thyself before trading

All too often people jump into market without considering some basic guidelines that have as much to do about themselves...

View more education articles »