The bulls are hoping for a breakout from Aecom Technology.
optionMONSTER's Heat Seeker monitoring system detected the purchase
of about 2,500 February 25 calls for $0.85. Volume was almost
triple previous open interest at the strike.
Those buyers have now locked in a $25 purchase price for shares of
the provider of business services, no matter how high they may
climb in the next four weeks. That could result in some nice
leverage in the event of a rally, but these options will lose most
of their value if the stock doesn't move.
ACM is off 0.04 percent to $25.15 in morning trading but up 58
percent in the last six months. The stock is now sitting at its
highest level since July 2011, when concerns about public finances
sent global markets into a tailspin.
The next earnings report is scheduled for Feb. 5.
lets the investor get long the stock before that potentially big
news report but also limits the amount of money they can lose if
the numbers disappoint. (See our
section for more on how options can be used to manage risk.
More than 3,000 contracts have traded in the name so far today,
compared with 78 in a typical session. Calls outnumber puts by 78
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.
Copyright © 2010 OptionMonster® Holdings, Inc. All Rights Reserved.