The bulls are looking for more treasure in Tesoro.
optionMONSTER's Heat Seeker monitoring system detected the purchase
of 2,900 August 25 calls for $3.15 and the sale of an equal number
of May 23 calls for $3.20. Volume was below open interest in May
but not in August, so it appears that an existing long position was
rolled from one strike to the other.
The move gives the investor an additional three months of long
exposure to the Texas-based oil refiner, although at a higher
break-even price. This suggests that the trader expects it will
move at least $2 in the additional period of time. He or she also
collected a credit of $0.05
TSO is up 0.72 percent to $23.75 in morning trading. It roughly
doubled in late 2010 and early 2011 but has been fluctuating in a
range since then.
Overall option volume is already twice Tesoro's daily average, with
calls outnumbering puts by more than 100 to 1, according to the
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