A large put trade dominates the early option action in Micron Technologies today as shares come off their highs.
optionMONSTER's Depth Charge system shows that a trader sold 13,065 February 24 puts for $0.40 against previous open interest of 21,420. At the same time, he or she bought the same number of February 25 puts for the ask price of $0.87 in volume far above that strike's open interest of 2,080, so that was a new opening position.
This could be a new vertical spread , with the trader paying $0.47 for the potential to make $0.53. Alternatively it could be a roll, with the trader selling lower-strike puts to close that position and opening the new February 25 calls at to get additional exposure. (See our Education section)
MU is down 0.56 percent to $24.74 this morning after hitting an intraday high of $25.24 yesterday. The memory-chip maker was below $23 last week.
Total option volume in the name already tops 44,000 contracts, closing in on its full-session avearge for the last month.
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