We have a close/roll where paper sold out EGRX Jun 40s & 45s & consolidated the positions into the July 45 calls.
Eagle Pharmaceuticals Inc., trading 45.25 (down 4.09) with an IV30 of 128.37 down 4.16% and an HV10 of 47.85 saw a large time spread trade.? The stock, with an ADV of 750 and an OI of 19,400, saw a trader sell to close the June 40 calls at 8.49 2346 times sold to close the June 45 calls at 6.70 and then bought to open 4976 of the July 45 calls for 8.26 executing a call roll across 2 strikes, into 1 strike.
This appears to be a close and roll where the customer sold out of his or her 40s and 45s in June and consolidated the positions onto 1 strike in July buying the 45 calls. The positions clearly still wants EGRX to move higher and for IV to move higher.? The trader is buying time.
This trade is bullish IV and bullish the underlying.