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Cadence Pharmaceuticals has been languishing, and one investor doesn't expect much of a rally.

optionMONSTER's monitoring systems detected the sale of more than 7,500 May 7.50 calls against open interest of 5,069 contracts. The first blocks priced for $0.35, but premiums then declined to $0.30 and $0.25, which reflects the selling pressure.

CADX fell 2.91 percent to $6.01 yesterday and has lost one-third of its value in the last three months. Its implied volatility has also climbed to about 80 percent, which is greater than the drug maker's propensity to move.

That could make some traders sell options on the company on a belief that they're overpriced. The trades could also be the work of shareholders who wrote calls to earn income, which reduces the cost of owning stock. (See our Education section)

The stock fell hard in early August after revenue missed expectations by a narrow margin. CADX's single drug, Ofirmev, is an intravenous hospital version of the same compound that's in Tylenol. It was approved one year ago and the first sales are now coming in.

Overall option volume was 11 times greater than average in the session.

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