A large trade is looking for the iShares Real Estate Fund to stay above current levels in the next month.
A trader bought 6,000 January 67 puts for the ask price of $0.13 against open interest of 8,730. At the same time, he or she sold 6,000 February 67 puts for the bid price of $0.68 in volume that was well above that strike's open interst of 1,288, so that was a new position, according to optionMONSTER systems.
The trader is rolling a short-put position forward as the January contracts expire tomorrow. The new February short puts, which are at the money, are looking for the stock to remain above the $67 strike price in a month. (See our Education section)
The IYR is up 0.32 percent to $67.04 this morning, continuing its steady climb from support at $61 in mid-November. The exchange-traded fund is now closing in on its September high.
Options Trading News
Related Stories
IYR
What's behind puts in real-estate ETF
May 1, 2013
Yesterday's close and today's intraday high are the highest levels for the iShares Dow Jones U.S. Real Estate Fund since 2007.
IYR
Real-estate ETF gets show of support
April 22, 2013
The iShares Dow Jones U.S. Real Estate Fund jumped on Friday, and one huge trade is looking for current levels to hold for the next month.
Social Media
Follow optionMONSTER for news and updates
Premium Services
-
Semi-active traders looking for simple calls and spreads (5 per week).
Learn More -
Entry-to-mid level traders looking for full circle trade analysis (1 per week).
Learn More -
Tailored, one-on-one education designed and led by Jon & Pete (3 months and up)
Learn More
Education & Strategy
So why do we bother with spreads?
Trading options allows for far deeper levels of complexity than stocks. And while you may never fully venture all the...
