Learn the trade here. Make it on tradeMONSTER

Options Trading News

August 22, 2013  Thu 1:47 AM CT

KMI: SEE CHART GET CHAIN FIND STRATEGIES
Kinder Morgan bounced off support again yesterday, and one long-term trade is betting that any downside will be limited.

optionMONSTER systems show that 7,046 of the March 32.50 puts were sold for the bid price of $1. Previous open interest was just 143 contracts, so it is a new position.

The put selling is a bet that KMI will hold above $32.50 through expiration in mid-March. But the trader also risks having to buy shares if they fall below that level. (See our Education section)

KMI was down fractionally yesterday at $36.93. Shares of the energy-pipline operator hit their lowest level in more than a month on Tuesday after trending downward from above $40 in mid-July.
Share this article with your friends


Premium Services

Free Webinars

Swing Trading w/ Jon Najarian and Ron Ianieri

Education & Strategy

Make your rules, and stick by them!

New traders often act on the recommendations of others or on gut feel. But that is a quick way to...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER