Traders are looking for a comeback in OfficeMax, which gapped lower after its last earnings report in June.
optionMONSTER's Heat Seeker monitoring program detected the purchase of more than 2,000 January 12 calls, most of which priced for $1. Volume was more than 38 times the previous open interest at the strike, indicating that new positions were initiated.
OMX rose 0.51 percent to $11.83 on Friday. The office-supply retailer more than tripled between August 2012 and February and has been shuffling in a range since. The shares traded for more than $12 before last month's poor quarterly numbers, then fell to their 200-day moving average around $10 and have been rebounding since.
The owner of the calls now has the right to purchase shares for $12 through early next year, no matter how high they may trade during that time. Now he or she doesn't have to worry about missing a move in the stock and stands to enjoy considerable leverage if it rallies. (See our Education section)
OMX's next set of quarterly results will be announced before the opening bell on Aug. 6.
Total option volume was 17 times greater than average in the session, with calls outnumbering puts by 377 to 1.
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