50,000 XLE Mar 75 puts were sold to close at .70.? Against that 40,000 XLE April 75 puts traded for 1.47.?
Closing and Rolling in XLE
http://www.google.com/finance?q=xle&ei=Jcn0VIj8N8LjqgGfz4GoBA
The Energy Select Sector SPDR is seeing a big close and roll at the 75 strike.? A trader sold to close, 50,000 of the XLE Mar 75 puts at .70.? Against that the trader opened 40,000 times the April 75 puts paying 1.47.? Net the trader paid about .875 debit for every 5 by 4 spread.
This trade appears to be a trader that was carrying a hedge rolling back a full month. And reducing the number of puts he or she is carrying.
This trade should be considered bullish volatility in the immediate (not surprise with the OIV around 55%) and it should be considered bearish the underlying contract.? Traders looking to piggy back might consider the Mar-Apr 75 put spread for about .75 a contract.