Market News

February 6, 2013  Wed 3:16 AM CT

U.S. Bancorp has been drifting sideways in 2013, and one trader apparently believes that the stock will hold above a key support level.

optionMONSTER's tracking systems detected the sale of 4,504 March 29 puts for $0.05 in 10 seconds yesterday. The volume was nearly 10 times higher than the strike's open interest of 467 contracts before the session began, clearly indicating that this is a new position.

USB rose 0.52 percent yesterday to close at $33.13. The financial-services company gapped higher with the broad market rally at the beginning of the year but has been trapped in a tight range since then, now trading right at its 100-day moving average.

Yesterday's put seller is betting that the stock will hold above $29 through expiration in mid-March. If USB falls below that strike price, which has held as support for the last year, the trader will face the obligation to buy the shares. (See our Education section)
News Archives
OptionsHouse

Education & Strategy

President John F. Kennedy, Thanksgiving 1963

This Proclamation by JFK was delivered November 4, 1963. It proclaimed November 28, 1963 as a day of national thanksgiving.

More education articles »