A trader made a big bet this morning on a rally in shares of Cardinal Health ( CAH ). At 10:15 this morning, a lot of 9,800 contracts of the March 45 call changed hands, against open interest of 114 contracts. That trade and several others today moved high in the bid-ask spread, indicating that these new contracts are being initiated from the buy side.
InvestorsKeyhole Trade Alert
IK-> The technicals for CAH ($44.44 up $0.31) are bearish with a downward trend. The stock has support around $42.50. Look at the Feb. 35/37.50 bull-put spread for a 20-cent credit. That's an 8.7% return and the stock has to fall by 15.6% to cause a problem. [InvestorsKeyhole, various news and data services]
Originally published on InvestorsObserver.com