Paper bought 35,000 EGO Oct 4 calls paying .15 tied to stock.?
Eldorado Gold Corp., trading 3.31 with an IV30 of 59.73 and an HV10 of 44%, is seeing bullish call action today.? The stock, with an ADV of 5300 and an open interest of 144,000 contracts, saw a customer buy 35,000 EGO Oct 4 calls paying .15 tied to stock.? There have been additional purchases at .15 throughout the day as trader?s piggyback the large block trade.? This is in addition to the 40,000 contracts that traded on this strike yesterday.? Thus this might be additionally opening OR it could be a piggy backer.
This appears to be traders that like EGO to rally between now and October expiration although with the stock if the stock does turn around the customer will be in decent shape as this trade is hedged. This stock was above 5.00 as recently as mid-July thus this is a reasonable level for the trader to get long.
This trade should be considered bullish vol in EGO and bullish the underlying.