Argentine oil company YPF is seeing bullish option activity for the second session in a row.
optionMONSTER systems show that a trader sold 3,000 July 25 puts for the bid price of $2.20 today. Open interest in the strike was a mere 145 contracts before the trade appeared, clearly indicating that it is a new position.
The put seller is betting that YPF will hold up above $25 in coming months, taking on the risk of having to buy shares if they are below that level. The trade amounts to a vote of confidence for the name, which saw bullish call buying at the January 30 strike yesterday . (See our Education section)
YPF is up 0.748 percent to $28.31 in afternoon trading. It peaked above $30 last week, a few days after gapping higher on reports that it will settle a long-running dispute with Spanish oil producer Repsol. Shares were below $25 just two weeks ago.
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