Boston Scientific attracts put buying

optionMONSTER

Boston Scientific has gone a scorching run higher in recent months, but a large trade today is positioning for a potential pullback.

A trader bought 5,000 March 7 puts for the ask price of $0.07, according to optionMONSTER's Depth Charge system. The volume was twice the previous open interest, so it was a new position.

The put buying isn't tied to any trading in the underlying shares identified by our systems today, though it could be hedging against an existing long position . If it is an outright bearish play, the trader is making a cheap bet with the delta of those puts at just 0.12--meaning that there is a 12 percent probability that they will be in the money at expiration. (See our Education section)

BSX is down 0.4 percent to $7.60 this morning but has run up from support at $5 in the last three months. The medical-device maker hit a 52-week high last week and is now up against resistance that has held up for the last three years.

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