OptionsHouse

Options Trading News

May 31, 2013  Fri 3:47 AM CT

SYMC: SEE CHART GET CHAIN FIND STRATEGIES
Symantec saw positive option activity yesterday morning, and traders grew more bullish by the afternoon.

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.
Share this article with your friends


Related Stories

SYMC

Symantec seen holding onto big gains

June 23, 2016

The chip maker has surged 24 percent in the last month and traders are betting that downside potential will be limited.

SYMC

Symantec investor buys time for a rally

June 20, 2016

The cybersecurity company, which announced early last week that it is buying Blue Coat Systems for $4.65 billion, is up 17 percent in the last month.

SYMC

Why bulls are charging into Symantec

June 14, 2016

Traders turned bullish on the cybersecurity company yesterday after its weekend announcment that it is buying Blue Coat Systems for $4.65 billion.

OptionsHouse

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Education & Strategy

Know the risks behind covered calls

Selling calls is a popular strategy for both retail and institutional traders, but they typically do it in very different fashions.

View more education articles »