Shares of DryShips continue to tumble, but one trader sees an end to the slide.
A trader sold 5,000 June 1.50 puts for the bid price of $0.33 against open interest of just 130 contracts, so this is a new position, according to optionMONSTER's systems. There also was activity in the March 2 calls this morning, but that action is unclear.
The put selling is a bet that DRYS slide lower ends here. The trader is willing to buy shares if they continue lower, but would have an effective buying price of $1.17 given the credit for the puts. (See our Education section)
DRYS is down another 7.78 percent to $1.54 after hitting at all-time low of $1.46 earlier in the day. The drybulk carrier had been holding support at $2 but tumbled yesterday after the company reported earnings and said the shipping market remains "severely depressed." It was trading above $3 at the start of May.
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