Learn the trade here. Make it on tradeMONSTER

Options Trading News

May 14, 2013  Tue 2:45 AM CT

NOV: SEE CHART GET CHAIN FIND STRATEGIES
National Oilwell Varco slipped yesterday, but one trader apparently believes that further downside will be limited.

optionMONSTER systems show that a trader sold a single block of 5,000 November 65 puts yesterday for the bid price of $4.20. This is clearly a new position, as open interest in the strike was just 896 contracts before the trade appeared.
 
The put selling is a bet that NOV will hold above $65 through expiration in mid-November. The trade can profit, however, with shares anywhere above $60.80 at that time. (See our Education section)

NOV was down 0.85 percent to finish the session at $67.64. Shares of the energy-drilling equipment company have been in a range between $64 and $70 since January.
Share this article with your friends


Related Stories

NOV

Energy bears circling National Oilwell

October 6, 2014

Weak economic growth overseas and a strong dollar have combined to drive energy lower, making it the S&P 500's worst-performing sector in the last three months.

Premium Services

Free Webinars

Make Money in a Volatile Market

Education & Strategy

Analyzing a bipolar market

Economics hinges on the tenet that people, including investors and traders, act rationally and in their own best interests. But...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER