Agilent Technologies has been consolidating after a big move,
and now the bulls are back.
optionMONSTER's tracking systems detected the purchase of 10,000
November 47 calls for $2.10 and the sale of a matching number of
November 41 puts for $2.02. Volume was more than 80 times the
previous open interest at each strike, indicating new activity.
generated income, lowering the cost of the
to just $0.08. That creates the prospect of massive leverage if the
maker of scientific equipment pushes higher by the autumn, but it
also creates the risk of significant losses with the short puts.
A fell 0.56 percent to $44.48 yesterday. It gapped higher last
month after a strong earnings report and touched its highest price
in 22 months before retreating along with the rest of the market.
The stock is now trying to hold the same range that had been
resistance from early 2012, which could be leading some chart
watchers to think that it will continue to rally. Yesterday's
combination trade effectively programs a buy order at $41 if it
tests that level. Given that the trader likes the name, he or she
would probably be willing to own it for that price as well.
Total option volume was more than 11 times greater than average in
the company during the session.
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