Paper bought 15,000 WFT May 5/6 put spreads for .44
Weatherford International PLC, trading 6.10 (down .64) with an IV30 of 88.8 and an HV10 of 77% saw a customer trade a large put spread in May.? The stock, with an ADV of 15,000 and an OI of 151,000 contracts, saw a customer buy 15,000 of the May 6 puts for .96 and sell 15,000 of the March 5 puts at .52.? In total the trader bought 15,000 of the May 5/6 put spreads for .44
This trade is a guess that WFT could glide lower between now and May and could be a hedge against a long stock position.? Either way, the trader is concerned that WFT could drop toward $5 by May expiration.
This trade should considered bullish volatility and bearish WFT stock.