Shares of Flotek Industries Inc. (FTK) are down .43 to 27.49 today. ?FTK is near the middle of the 52 week range.
Today paper traded 31000 FTK Jan 2015 32 calls and 23/28 put spreads for .80. ?The ADV is 1947 contracts.? The OI is less than 200 contracts in the Jan 2015 strikes.
The volume went up in 4 blocks.? The Jan 2015 23 puts went up 15k extra on this trade where the trader looked to finance more of the risk reversal (short call long put)? With the size Sep trading as well this is most likely a giant roll from Sep to Jan looking for upside to the 52 week high put adding downside protection.? These trades normally go with a long stock position.? The Sep IV is down quite a bit as the trader rolls out of the long Sep put spread and into the Jan.
30-day implied volatility is 36%.?? 10-day implied volatility is 25%.? 30 day implied volatility is trading above the 10 realized volatility
Flotek Industries, Inc. (Flotek) is a diversified global supplier of drilling and production related products and services. Its core focus is oilfield specialty chemicals and logistics, down-hole drilling tools and down-hole production tools used in the energy and mining industries.