Paper bought 50,000 DXJ July 22 weekly 42 calls & sold 50,000 July 22 weekly 43 calls creating a 1 point vertical for .21 per spread.
Wisdom Tree Japan Total ETF, trading 40.83 with an IV30 of 30.65 and an HV10 of 31.70, is seeing bullish call spreads today.? The ETF, with an ADV of 30,400 and an OI of 615,000, saw a trader buy 50,000 of the July 22 weekly 42 calls for .32 and then sell the July 22 weekly 43 calls at .11 creating a 1 point vertical for .21 per spread.
This appears to be a customer that thinks there is a decent chance that DXJ moves above 42 between now and a week from Friday.? The customer appears to be looking for a rally of 3-5% between now and then.? The customer has a nice pay out of almost 4 to 1 if he or she is right on the play.
This trade is bullish the underlying and mildly bullish volatility.