Freescale Semiconductor (FSL) is trading at 15.45, up .31 on the day, and is seeing heavy March call buying.
FSL has been off to the races since earnings. The stock gapped open last week moving from below 12.50 to over 14.? Since then, the stock has continued to climb higher, eclipsing 15 for the first time since April of 2012.? A trader is betting that this trend may begin to slow down
Over 17,500 of the FSL March 16 calls traded, with a trader also selling a huge block of about 17,000 calls at .375 on the PHLX.? My guess is that this is against either an existing long position, or this is the same trader that bought the Mar 13 calls prior to earnings on January 16th.
This trade appears to point toward a slowing of FSL?s rally, but is not bearish the stock, it is more bearish the volatility, as the trader will profit the most, if the stock runs to an even $16 dollars.