Options Trading News

December 13, 2012  Thu 10:14 AM CT

Disney has rebounded since falling with disappointing quarterly numbers last month, and one trader apparently believes that the stock will break back above a key level by mid-2013.

optionMONSTER's tracking systems detected the sale of 4,241 July 50 puts in 2 seconds for $3.45. The volume was about 9 times the strike's open interest at the start of the session, clearly indicating that this is a new position.

The put seller is betting that DIS will stay above the $50 strike price through expiration in mid-July 2013. The trader also faces the obligation to buy shares if they are below that level then, but at an effective price of $46.55 once the credit from the in-the-money put sale is factored in.

DIS is down 0.45 percent to $49.42 this morning. The media and theme-parks giant gapped down from the $50 level on Nov. 8 after revenues missed estimates, but the stock has recovered those losses and now faces resistance at its 50-day moving average.
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