The Options Insider

HCN Downside Call Rollers

by | Mar 16, 2015 | Unusual Activity

3220 HCN Mar 80/Apr 75 call spreads went up in several blocks.? This trade is most consistent with a buy write.

Calls trade in HCN- downside call rollers

?HCN

Shares of Health Care REIT, Inc. (HCN) are up .74 to 75.76.? HCN is at the upper end of the 52 week range.

  • Paper traded 3220 HCN Mar 80/Apr 75 call spreads for 2.15.
  • The ADV is 1440 contracts.
  • The OI is 4265 and 67 contracts.

The volume went up in several blocks.? HCN has pulled off of its highs recently and this trader is using a diagonal spread to close Mar and roll into Apr.? The trader is moving down the short strike to roll the calls.? This trade is most consistent with a buy write.

  • IV 30 is trading for 20%.
  • HV10 is trading for 24%.
  • IV 30 is trading below the HV 10.

Health Care REIT, Inc. is a real estate investment trust (REIT). The Company?s portfolio has range of seniors housing and healthcare real estate, including seniors housing communities, skilled nursing/post-acute facilities, medical office buildings, inpatient and outpatient medical centers and life science facilities. The Company operates in three segments: seniors housing triple-net, seniors housing operating and medical facilities.

 

Call traders move on PSA- call traders rolling to the money

?PSA

Shares of the Public Storage (PSA) are up 1.45 to 190.45 today. PSA is near the middle of the 52 week range.

  • Paper traded 1508 PSA Mar 200 Apr 190 call spreads for 4.25.
  • The ADV is 4200 contracts.
  • The OI is 2876 and 33 contracts.

The volume went up in in two blocks on split prices.? PSA is near highs for the year but the trader is taking a more aggressive line on this buy write.? They are taking at the money premium in the Apr cycle and not going farther OTM.

  • IV 30 is trading for 18.79%.
  • HV10 is trading for 23%.
  • IV 30 is below the HV 10.

Public Storage (the Trust) is a real estate investment trust (REIT). The Trust?s principal business activities includes: Domestic Self-Storage, European Self-Storage and Commercial. It acquires, develops, owns, and operates self-storage facilities, which offer storage spaces for lease, on a month-to-month basis, for personal and business use.

 

Puts trade in VNQ- big butterfly goes up

?VNQ

Shares of Vanguard REIT index fund (VNQ) are up .91 to 83.29 today. ?VNQ is near the upper end of the 52 week range.

  • Paper traded 30000/60000/30000 VNQ Apr 74/77/80 butterflies for .25.
  • The ADV is 1888 contracts. ?
  • The OI is less than 1000 contracts.

The volume went up in 3 blocks on the PHLX.? This put trader wanted some downside protection and paid .25 for it.? This could be a hedge or more likely straight up downside speculation on the price of VNQ.

  • IV 30 is trading for 16%.
  • HV10 is trading for 21%.
  • IV 30 is below the HV 10.

VNQ Invests in stocks issued by real estate investment trusts (REITs), companies that purchase office buildings, hotels, and other real property.? Goal is to closely track the return of the MSCI US REIT Index, a gauge of real estate stocks. Offers high potential for investment income and some growth; share value rises and falls more sharply than that of funds holding bonds.