Shares of QUALCOMM (QCOM) are trading higher on the session by 0.36%, at $60.65. The stock has been moving lower over the past six weeks, but found support around the $58.00 historical support/resistance level.
While shares are getting up off the mat, one trader is taking the opportunity to collar the name today. A short while ago the January 2014 $72.50 call was sold 7,000 times, on the bid, for $2.97 just as 7,000 Jan14 $55 puts were purchased, on the offer, for $5.85.
Given the current open interest on the strikes, 350 and 5,078 contracts respectively, this is clearly new positioning. What is not clear is whether this is a naked, synthetic short position or a collar for an existing long stock position.
30-day implied volatility is off 2.1% today to 33.06%, while 10-day realized vol is registering 24.74%.
QUALCOMM Incorporated designs, manufactures and markets digital wireless telecommunications products and services based on its code division multiple access technology and other technologies.?