Market News

November 28, 2016  Mon 10:03 AM CT

A large trade is showing caution in Ciena before quarterly results next week.

OptionMonster's monitoring program detected the purchase of 9,642 December 22 puts in one print for $1.32 today. Volume was more than 37 timesthe open interest in the strike, showing that this is a new position.

Long puts lock in the price where a stock can be sold, so they make money if shares decline. Investors use them to hedge long positions or to speculate on a drop. (See our Education section)

CIEN is down 4.54 percent to $21.43 in morning trading but is up 10 percent in the last month. The network-technology company is scheduled to report earnings before the market opens on Dec. 8.

Overall option volume is 4 times greater than average in CIEN so far today. Puts outnumber calls by a bearish 19-to-1 ratio.

News Archives
OptionsHouse

TRADING WEEKLY OPTIONS

The fastest money in the market VIEW FULL REPORT

Education & Strategy

From the AP Archives: If It's Not There...

I have talked at great length about the fact that as an individual investor, you do not have to be in the market at all times.

More education articles »