A large put sale is betting that current levels will hold in the iShares Mexico Fund.
optionMONSTER systems show that a trader sold 4,385 May 62 puts for $0.74 this morning. Previous open interest in the strike was just 693 contracts, so today's trade is clearly a new position.
The put seller will keep the $0.74 credit as profit if the EWW stays above $62 through expiration mid-May. The trader also risks having to buy shares if they fall below that strike price. (See our Education section)
The EWW is down 0.78 percent to $63.26 in midday trading. The exchange-traded fund has been testing resistance at $65 in the last couple of weeks. Shares were below $62 a month ago and under $59 a week before that.
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