Wednesday, June 9, 2010

BP Options Bets… Going to $10?

Stock Assault 2.0 - Artificial Intelligence Stock Market Software

BP plc (NYSE: BP) is under fire, as if that is not the understatement of the decade.  While shares fell over 16% and were headed to close close to $29.00 today there was a hell of an options trading pattern in the PUT options.  BP had explosive options trading down all the way in the PUT contracts under $20 and even down to $10 and lower…. This is the data shortly before the closing bell just on the JUNE-2010 CALLS alone:

If you look, that is a first for options trading.  The prior open interest was listed as a whopping 5 contracts spread out among the $7.50 to $15.00 PUT strikes before today.  Many of these are sure to be just extremely low probability high-risk vs. high-reward scenarios.  Still, it will make you wonder….


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