More unusual options trading activity: Big pre-earnings bet in FRO, buy-write in BLOX, and bullish risk reversal in EWI.
Opening Time Spread in FRO- big pre-earnings bet
Shares of Frontline Ltd (FRO) are down .02 to 2.55 today.? FRO is near the bottom of the 52 week range.
Today paper traded 10000 FRO Nov/Jan 3 time spread for .15. ?
- ADV is 486 contracts.?
- OI is 1187 on the Nov and 5745 in the Dec.
Volume went up in two giant blocks.? The size makes this an opening trade with volume trading near or on the bid.? The trade is most likely a short time stupid with the Jan 3s still offered .25.? If this is the case it is probably against a long stock position.? The trader does not expect FRO to jump between now and Jan expiration.
- 30-day implied volatility is 68%.??
- 10-day implied volatility is 53%.
- 30-day implied volatility is trading above the 10-day realized volatility.
Frontline Ltd. is a Bermuda-based shipping company engaged primarily in the ownership and operation of oil tanker.
Calls trade in BLOX- Looks like a big buy write
Shares of Infoblox (BLOX) are up .18 to 12.69 today. ??BLOX is near a 52 week low.
Today paper traded 1550 BLOW Jan 2015 12.5 calls at 1.95.?
- ADV is 1343 contracts. ?
- OI is 3049 contracts.
Volume went up in 1 large block marked buy-write.? Jan IV is down fractionally and this trade looks like more additive to the OI.? The yield on the all sale is better than 15% on a January hold which is not too bad with BLOX at the bottom of the range.
- 30-day implied volatility is 78%. ?
- 10-day implied volatility is 11%.?
- 30-day implied volatility is trading above the 10-day?realized volatility
Infoblox Inc. (Infoblox) is an automated network controller. The Company?s network functions include Internet protocol (IP) address management, device configuration, compliance, network discovery, policy implementation, security and monitoring.
Calls trade in EWI- bullish risk reversal
Shares of iShares MSCI Italy Index (EWI) are up .16 to 16.16 today. ?EWI is near the middle of the 52 week range.
Today paper traded 725 EWI Dec 17 calls for .40.
- ADV is 490 contracts. ?
- OI is 374 contracts.
Volume went up in 1 block.? The calls went up with extra volume pushing the trade to 900 contracts trading on the offer.? 900 EWI Dec 15 puts also traded today at prices from .35-.40 with most of that hitting the bid.? The trade is not marked spread but the volume could be a bullish risk reversal.
- 30-day implied volatility is 18.47%. ?
- 10-day implied volatility is 15%.?
- 30-day implied volatility is trading above the 10-day realized volatility
iShares MSCI Italy Capped ETF, formerly iShares MSCI Italy Capped Index Fund (the Fund), is an exchange traded fund. The Fund seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the MSCI Italy 25/50 Index (Index).