OptionsHouse

Options Trading News

December 7, 2012  Fri 11:23 AM CT

RCL: SEE CHART GET CHAIN FIND STRATEGIES
Put selling tops today's option activity in Royal Caribbean as shares trade near 52-week highs.
 
More than 5,400 RCL options trade in total, about 3 times its daily average, and almost all of the trading was in one strike. optionMONSTER systems show that 4,000 March 34 puts were sold in one print for $2. Open interest was just 178 contracts at the beginning of the day, so this clearly is a new position.

The put selling is based on the thesis that RCL will hold above $34 in coming months. That price has been support for the last couple of weeks, but shares were down at $33 in mid-November and below $24 in July. (See our Education section)

Shares of RCL are up 0.66 percent to $35.06 this afternoon. The cruise-line operator posted a 52-week closing high of $35.25 last week.
Share this article with your friends


Related Stories

RCL

Bullish play extended in Royal Caribbean

April 19, 2016

The cruise-line operator is up 9 percent in the last month, and investors are rolling calls in the name for the third time in two weeks.

RCL

Bulls targeting Royal Caribbean Cruises

April 15, 2016

The cruise-ship operator is up 16 percent in the last month and is expected to announce its next quarterly results next week.

RCL

How trader is riding Royal Caribbean

April 5, 2016

A bullish position is being extended in the cruise-line operator, which is trying to rebound from a steep drop earlier this year.

OptionsHouse

Premium Services

Education & Strategy

Market Level Making You Nervous, Huh? Part 3

In last week's article, we discussed how important the extra cash you save by using the Stock Replacement Strategy over buying the actual stock is! That extra cash in our account instead of being unnecessarily tied up in a stock position allows us to buy the puts we would need to protect our downside in the case of a major sell-off.

View more education articles »