LyondellBasell received a vote of confidence last week from option traders ahead of its earnings report tomorrow.
More than 3,600 June 90 puts were sold on Friday, most of them in two prints for $2.45 about 10 minutes apart, optionMONSTER's tracking systems show. These are clearly new positions, as the volume dwarfed the strike's previous open interest of just 269 contracts.
This put seller will keep the $2.45 credit as profit as long as LYB stays above $90 through expiration in mid-June. The trader also faces the obligation to buy shares if they are below that strike price at that time. (See our Education section)
LYB fell 0.47 percent to $91.05 on Friday. The Dutch chemical manufacturer began February at the $77 level and ran up to $91 by early March, but shares have been range-bound since then. Quarterly results come out tomorrow morning .
Friday's put selling pushed LYB's total option volume to 4,612 contracts in the session, nearly double its daily average for the last month.
More From optionMONSTER