Trader bets Astex will hold current level

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Astex Pharmaceuticals is pulling back after spiking higher in recent months, but one trader apparently believes that the stock will hold current levels.

A trader sold 2,825 May 6 puts for the bid price of $0.40 and bought 4,175 May 4 puts for the ask price of $0.05, according to optionMONSTER systems. Volume was above open interest in the May 6s but below it in the May 4s.

This is likely a trader is rolling a short-put position higher. The May 4 puts have practically lost all of their value, so he or she is apparently left with the bet that ASTX will hold above $6 over the coming weeks. (See our Education section)

ASTX is down 1.62 percent this morning to $6.22. Shares have run up from $3 in late February and reached an intraday high of $6.47 yesterday.

optionMONSTER systems show that 7,700 ASTX options have changed hands this morning, already welll above its full-session average. 

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