Shares of E-House Holdings (EJ) are up .61 to 9.49 today.? EJ is in the middle of the 52 week range.
Today paper traded 459 EJ OCT 9 CALLS FOR 1.60. ?The ADV is 1558 contracts.? The OI is 57 contracts.
The volume went up in 2 blocks.? Total trade on the strike was over 7k contracts with paper mostly buying.? Volatility is up slightly with the calls still trading around the 1.6 level.? The scattered nature of this trade is either oversees buying or a newsletter pick.? The investors are looking for more upside.? UA covered EJ on May 05, 2014 with a skewed Jan 2015 5/12 collar:
?The volume went up in two blocks.? The positions were not marked spread but the size and duration are similar and could be a collar type trade or a long term short position.? Most likely the trade is a collar for stock because the call side is 1000 contracts less giving some extra room on the upside if the stock were to fly.? The second possibility is the trade was a straight strangle buy since the puts went up on the offer and the calls closer to the offer.?
30-day implied volatility is 57%.?? 10-day implied volatility is 47%.? 30 day implied volatility is trading above the 10 realized volatility.