A trader apparently believes that any gains in Affymax will be limited.
AFFY fell 6.3 percent yesterday to $13.02, its lowest close since May 18. Shares of the biopharmaceutical company have been unable to break above resistance at $15, with its last attempt on May 29.
Dominating the options volume is the action in the October 14 calls. optionMONSTER's systems show that a trader sold 5,000 of those calls for $1.90 against previous open interest of 491, so it was a new position.
The options were very likely traded against long shares in a covered call strategy, which is bullish up to the $14 strike price but gives up any gains above that level. (See our Education section)
Options Trading News
Social Media
Follow optionMONSTER for news and updates
Premium Services
-
Semi-active traders looking for simple calls and spreads (5 per week).
Learn More -
Entry-to-mid level traders looking for full circle trade analysis (1 per week).
Learn More -
Tailored, one-on-one education designed and led by Jon & Pete (3 months and up)
Learn More
