Symantec traders get more bullish
Mike Yamamoto | email@example.com
More than 5,100 July 25 calls were bought late in the session, led by a print of 3,801 that went for $0.17, according to optionMONSTER's Heat Seeker system. These are new positions, as the volume was far above the strike's open interest of just 862 contracts before the trades appeared.
SYMC rose 0.31 percent to close at $22.95. The security-software maker gapped down from above $25 on May 8 after lowering guidance, but shares appear to have found support at current levels in the last week.
Yesterday's call buyers are looking for SYMC to rally back above that $25 level by expiration mid-July, less than two weeks before the company is scheduled to release its next quarterly report on July 30. The trades followed put selling in the July 21 contracts in the morning, which shows further confidence in the name.
The long calls lock in the price where traders can buy the stock no matter how far it might rise, while the short puts are betting that shares won't fall far below current levels. (See our Education section)
Total option volume in the name topped 9,000 contracts yesterday, more than 44 percent higher its daily average for the last month. Calls outnumbered puts by 2 to 1.