Time is money for Ctrip trader
Someone is turning time into money with Ctrip.com.
optionMONSTER's tracking programs detected the sale of 2,500 January 2016 20 puts for $0.70. Volume was more than 4 times previous open interest, which indicates a new position was initiated.
The trader is betting that the Chinese travel-agency stock will hold its ground for the next 17 months. If they're right, they will profit from the time decay of the options. (See our Education section.) They can also endure a drop of more than 60 percent in the share price without losing money.
CTRP fell 1.06 percent to $65.32 in early afternoon trading. Yesterday, it touched a record intraday high of $68.41, spurred by news that Priceline was buying a stake in the company.
More From optionMONSTER
