Atmel Corp. was trading around 7.80 when customers started buying up the Jan 8 calls in droves.??So far today over 23,000 of the Jan 8 calls have traded almost all buys,? the first batched traded .20 10,000 times they are now over .40 a nice single day return of 100% for the initial buyer
It appears that these call buys are out right call buys and a direct play on the stock making a move above 8.00 by the middle of January.? These call purchases should be seen as bullish ATML and bullish volatility in the stock.
Traders looking to piggyback should consider some sort of calendar spread.? One interest trade would be selling the Jan 9s and buying the Feb for less than .20 a spread.