Learn the trade here. Make it on tradeMONSTER

Options Trading News

July 25, 2013  Thu 3:16 AM CT

UPS: SEE CHART GET CHAIN FIND STRATEGIES
A large trade is looking for a floor in shares of United Parcel Service.

optionMONSTER systems detected the sale of 10,000 September 85 puts for the bid price of $1.34. This is clearly a new position, as the strike's open interest was just 456 contracts before the trade appeared.

The put seller will keep the $1.34 credit as profit if UPS holds above $85 through expiration in mid-September. But the trader is taking on the risk of having to buy shares if they are below that strike price. (See our Education section)

UPS finished yesterday at $86.98, down 0.61 percent. The shipping giant has been trending higher since falling below $70 in November, hitting a peak of $91.78 two weeks ago.
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