In what was likely a close/roll paper bought LNG Jan 35 puts for 2.00 & sold LNG Feb 35 puts at 3.25.
Cheniere Energy Inc., trading 32.25 down 1.22 with an IV30 of 58.8 and an HV10 of 42.50, is seeing a bearish roll today.? In the name that has an ADV of 10,700 contract and OI of 405k cars an 11,000 lot calendar spread trade.? In what was likely a close and roll a trader bought the Jan 35 puts for 2.00 and sold the Feb 35 puts at 3.25. Net he or she has traded 10796 of the calendars at 1.25.
The trader had previously been short the Jan 35 puts and is likely closing and rolling back to buy time and to collect additional premium.? The trader is hoping that between now and Feb expiration LNG can get a rally back above 35 dollars a share.
This trade should be considered bearish volatility and bullish LNG.