The Options Insider

Large At-the-Money Calls Trade in KBE

by | Nov 7, 2016 | Unusual Activity

9986 KBE Mar 2017 35 calls went up in 1 block on the PHLX marked regular.?

KBE

Shares of SPDR KBW Bank (KBE) ETF trade up .92 to 35.01 today. ?KBE is near the upper end of the 52 week range.

  • Paper traded 9986 KBE Mar 2017 35 calls for 1.60. ?
  • The ADV is 2458 contracts.?
  • The OI is 27 contracts.

The volume went up in 1 block on the PHLX marked regular.? The trade with smaller volume hitting the 1.60 bid earlier.? As priced this looks like a call write against an existing stock position.? The markets locked up on the early so it does look like the sale initiated and the customer is looking for a low yield play to Mar.

  • IV 30 is trading for 45%.?
  • HV10 is trading for 63%.?
  • IV 30 is trading below the HV 10.