Trader shows support for Brazil fund
Chris McKhann | [email protected]
optionMONSTER systems show that the biggest print in the EWZ came in the September 53.50 puts. A trader sold 17,318 of those contracts for the bid price of $2.55 against previous open interest of only 6 contracts at that strike, so it is obviously a new position.
The put selling is a bet that the EWZ will hold above $53.50 through expiration in mid-September. The trader is also willing to buy shares if they fall below that strike price. (See our Education section)
The EWZ closed yesterday up 0.91 percent to $56.40. The exchange-traded fund has run up from support at $51 and has been testing resistance at $57 for the last month.