Slowly but surely, ProLogis is expected to keep nudging higher.
optionMONSTER's tracking programs detected unusual call volume
yesterday in the real-estate investment trust, which owns
industrial buildings and warehouses.
A block of 3,500 September 35 calls was purchased for $1.15 at less
than previous open interest, while an equal number of October 36
calls were sold at the same time for $1.35. Volume was below open
interest in the October contracts, indicating that an existing
short position was rolled from one strike to the other.
The investor probably owns PLD shares and is using the options to
earn income while holding the position. He or she collected an
incremental $0.20 of premium and now stands to make an additional
$1 of upside from the stock rising, plus 3 percent from the
PLD rose 1.26 percent to $36,18 yesterday and is up 16 percent in
the last three months. It's the type of stock that often is owned
against short calls
as part of
because of its steady quarterly payouts and low volatility. Those
attributes allow the creation of positions more akin to owning
bonds than stocks. (See our
section for more on how to turn
time into money
while managing risk.)
Total option volume in PLD was 15 times greater than average
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