Learn the trade here. Make it on tradeMONSTER

Options Trading News

January 10, 2013  Thu 2:45 AM CT

CPB: SEE CHART GET CHAIN FIND STRATEGIES
A trader is betting that Campbell Soup will hold current levels in the next several weeks.

optionMONSTER's tracking systems detected the sale of 2,500 February 35 puts for $0.65 in 18 seconds yesterday. Open interest in the strike was just 179 contracts before the session began, so this is clearly a new position.

These short puts are looking for CPB to close above $35 at expiration in mid-February. If the stock is below this strike price at that time, the trader will face the obligation to buy the stock for an effective price of $34.35 when the credit from the put sale is factored in. (See our Education section)

CPB rose 0.63 percent yesterday to close at $35.21. Shares of the food company have been sliding since hitting $36 as the new year began, but they have held support at the $34.50 level since mid-August.

Yesterday's put trading pushed total option volume in the name to 3,148 contracts, more than 5 times its daily average of 609 for the last month.
Share this article with your friends


TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Education & Strategy

Options and high-frequency trading

There has been much talk lately of high-frequency trading (HFT) and what it does--or doesn't--mean to the markets and retail...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER