Learn the trade here. Make it on tradeMONSTER

Options Trading News

April 23, 2013  Tue 11:11 AM CT

GDX: SEE CHART GET CHAIN FIND STRATEGIES
Call selling leads today's option activity in the Market Vectors Gold Miners Fund as it heads lower once again.

optionMONSTER systems show that a trader sold 5,000 January 37 calls for the bid price of $1.12. This is clearly a new position, as the volume was more than twice the strike's open interest before the session began.  

The calls appear to have been sold against stock, as a block of 120,000 GDX shares traded shortly after for $28.225. The combination of stock and options creates a strategy that is looking for lower volatility and/or range-bound trading.

The GDX is down 1.43 percent to $28.56. The exchange-traded fund hit a low of $27.27 a week ago as it collapsed with the price of gold. Shares were at a high above $55 last September but have been trending lower since.
Share this article with your friends


Related Stories

GDX

Midday index, ETF option volumes

July 11, 2014

Total option volume is a bit light at 5 million so far today, with mixed action in the primary indexes and ETFs, according to optionMONSTER data systems.

Premium Services

Free Webinars

Education & Strategy

How to navigate earnings season

We are embarking on one of the most frustrating times for new option traders: earnings season.Many new traders buy options,...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER