The Options Insider

Call Rollers Looking for Upside in WMT

by | Mar 9, 2015 | Unusual Activity

17462 and 9990 WMT Mar/Apr 85 call spreads went up in two blocks on different volumes on the PHLX.?

Call traders in WMT- – call rollers looking for upside

WMT

Shares of Wal-Mart Stores (WMT) are up .22 to 82.81.? WMT is trading near the middle of the 52 week range.

  • Paper traded 17462 and 9990 WMT Mar/Apr 85 call spreads for .44 (1-1).
  • The ADV is 25028 contracts.
  • The OI is 23775 and 2269 contracts.

The volume went up in two blocks on different volumes on the PHLX.? WMT is stuck in the middle of the range and this customer is closing some Mar 85s early and buying less volume on the Apr 85s.? This is a down money roll right now so the client needs a lift in the underlying.

  • IV 30 is trading for 14%.
  • HV10 is trading for 12%.
  • IV 30 is trading above the HV 10.

Wal-Mart Stores, Inc. (Walmart) operates retail and other stores in various formats, including membership clubs. The Company operates through three business segments: Walmart U.S., Walmart International and Sam’s Club.

 

Puts trade in PBR- large possible put close in PBR

PBR

Shares of Petrobras SA (PBR) are down .12 to 5.84 today.? PBR is near the bottom of the 52 week range.

  • Paper traded 34430 PBR Mar 6 puts at .38 today.
  • The ADV is 68709 contracts.
  • The OI is 44222 contracts.

The volume went up in large block near the bid.? PBR is near 1 year lows as traders look to close existing put positions a little early in the cycle.? Over 36k contracts traded as some trader went through the posted bid on several exchanges.? The trader looks like they want to exit in a hurry on the lows for PBR.

  • IV 30 is trading for 70%.
  • HV10 is trading for 60%.
  • IV 30 is above the HV 10.

Petroleo Brasileiro SA Petrobras (Petrobras) is a Brazil-based integrated oil and gas company. The Company divides its activities into seven segments: Exploration and Production; Refining, Transportation and Marketing; Gas and Power; Biofuel; Distribution and International.

 

Put buyers pile HYG- puts and stock on a ratio

HYG

Shares the iShares iBoxx High Yield (HYG) are flat at 90.61 today. ??HYG is near the middle of the 52 week range.

  • Paper traded 10000 HYG Apr 90 puts for .90.
  • The ADV is 33602 contracts. ?
  • The OI is 9188 contracts.

The volume went up in 1 block marked price variation.? HYG puts went up with 500000 of stock and with the puts trading in the middle it is tough to tell which side the customer initiated.? This trade is additive paper with the IV up slightly so this could be a put buyer with stock.? The trader is looking for a trend in movement through the FOMC today.

  • IV 30 is trading for 9%.
  • HV10 is trading for 4%.
  • IV 30 is above the HV 10.

iShares iBoxx $ High Yield Corporate Bond ETF (the Fund), formerly iShares iBoxx $ High Yield Corporate Bond Fund, is an exchange-traded fund (ETF). The Fund seeks to track the investment results of the Markit iBoxx USD Liquid High Yield Index (the Index), which is a rules-based index consisting of liquid the United States dollar-denominated, high yield corporate bonds for sale in the United States, as determined by the index provider.