Traders are rolling with Patterson UTI Energy as the energy
driller tries to keep its uptrend intact.
optionMONSTER's Heat Seeker monitoring program detected the
purchase of 2,500 July 21 calls for $0.375 and the sale of 1,500
July 20 calls for $0.875. Volume was below open interest at the
lower strike, so it appears an existing position was closed and
The investor collected $37,500 making the adjustment, but
maintained a net
of about 1,000 because they increased the number of number of
contracts owned. As a result, they will have a similar
performance to the upside
with less capital at risk. (See our
Section for more on how to manage trades more effectively with
PTEN is up 1.88 percent to $20.55 in afternoon trading. The stock
climbed as high as $25.48 in March and is now attempting to rebound
after retreating to its 200-day moving average.
Earnings have beaten expectations for at least the last year. The
next quarterly report is scheduled for July 25--after today's calls
expire--so the buyers are looking for shares to melt up into the
Total option volume is 7 times greater than average in the name,
with calls outnumbering puts by 62 to 1.
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.
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