Trade counts on floor under India ETF

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The WisdomTree India Earnings Fund has pulled back from multi-month highs, but one trader sees a limit to further downside.

optionMONSTER systems show that a trader sold 6,000 July 17 puts for $0.30 and $0.35. The volume was above the strike's open interest of 5,063 contracts, indicating that this is a new position.

This put selling is a bet that the EPI will remain above $17 through expiration in five months. The trader is also showing the willingness to buy shares of the exchange-traded fund if they are below that strike price. (See our Education section)

The EPI currently trades at $19.48, unchanged on the day. Shares of the fund had been trending higher from below $16 since last May and were above $20 into the first day of the month, but they have fallen since then.

More than 6,250 EPI options have changed hands so far today, compared to a daily average of 860. Almost all of the action was in those July 17 puts.

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