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Meanwhile, options traders are piling into call positions.
I have short call positions in NYLD and PEGI, and short put positions in PEGI.
Investors selling the calls may be ditching previously established bull call positions to garner dwindling premium, or may be initiating fresh short call positions because they expect to walk away with the $0.30 premium per contract received on the sale.
Traders purchasing the calls could be initiating fresh bullish stances or buying-to-close previously established short call positions.
During this time, investors have added more than 490,000 put contracts and only 147,000 call positions among SPY options with fewer than three months until expiration.
It looks like some JCP bulls are banking gains by rolling previously established long call positions up to a higher strike price in the September contract.
Similar(43)
Essentially this short sale is purely a funding vehicle to facilitate the long December call position.
One investor revealed optimistic sentiment on the stock by rolling a long call position up to a higher strike price.
The investor then shelled out $2.15 apiece to reestablish the 2,500-lot 2,500-lottion at the November 12.5 strike.
One investor rolled a long call position to a higher strike price and augmented the size of the position to extend bullish sentiment to the April contract.
With the stock locked in a sideways channel under staunch resistance at the 20 level, traders may consider a short call position using the Aug. 20 call.
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