Paper bought 3,000 X May 13 puts, sold 3,000 X May 11 puts & sold 3,000 X May 10 puts for a net debit of .01.
US Steel Corp., trading 15.09 (down .67) with an IV30 of 87 and an HV10 of 96.5%, saw a customer trade a May put tree. The stock with an ADV of 42,000 and OI of 820,000 contracts saw a customer buy 3,000 of the May 13 puts paying 1.39 and against it he or she sold 3,000 of the May 11 puts at .79 and 3,000 of the May 10 puts at .59.? Net the customer paid .01 for the 13/11/10 May put tree in X.
This is likely a hedge. The customer is worried US Steel might drop below 13 dollars a share between now and May expiration but is willing to either take delivery or bet that X is not going to drop below 10 bucks a share over the next 60 days.
This trade should be considered bearish X and Bearish volatility in X.