Auto nation was trading just over $53 earlier today.? Apparently a trader thinks the stock is likely to rally over the next week, or at a minimum not drop since he began selling the mar 52.5 puts at .30 earlier today. Later, as the day progressed and the underlying moved around traded them as high as .35 and finished up selling the option at .25.
This trade should be viewed as bullish the stock and bearish volatility over the next week. The trader believes that over the next few days the stock will not drop below 52.5.? Additionally the trader is likely willing to buy the stock for 52.20 or lower.
Traders looking to piggy back could sell the Aprils collecting 1.25 or better.