Williams has been drifting lower, and one investor wants more
time for the stock to turn around.
optionMONSTER's tracking systems detected the sale of 20,388 August
32 puts for $2.98. An equal number of July 32 puts were bought at
the same time for $2.90, but volume was below open interest at the
strike. The activity suggests thats an existing position was rolled
forward by one month.
WMB is flat on the day at $29.15 in afternoon trading, so those
in the money
. It appears that the investor had previously sold the July 32
puts, looking for the stock to hold its ground above $32. But now
that it's declined, he or she is adjusting the position to avoid
being assigned and required to buy the shares.
now has more time for the energy stock to rebound, while collecting
a small credit of $0.08 in the process. It was the second straight
session of unusual option action in Williams, which drew
call selling yesterday
. (See our
The next big news event that could serve as a potential catalyst
for the stock is the release of second-quarter earnings after the
bell on Aug. 2.
Overall option volume in the name is 11 times greater than average
so far today.
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