Big move expected from Jazz Pharma

optionMONSTER

Someone is looking for a big move from Jazz Pharmaceuticals.

optionMONSTER's tracking programs detected the purchase of about 2,000 April 50 puts for $0.50 and 2,000 April 60 calls for $0.55. The trade dominated activity in the Irish drug maker, which normally sees volume of about 700 contracts per session.

Know as a strangle , it cost $1.05 and will make money from the shares making a strong move higher or lower over the next month. If they remain little changed, the position be rendered worthless. See our Education Section for other volatility strategies.

JAZZ fell 0.76 percent to $56.01 yesterday. It's spent most of the last six months between $50 and $60, so Tuesday's trader was clearly looking for a break of that range. There don't appear to be any scheduled events over the next 3-1/2 weeks that could serve as a catalyst for such a move.

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