Bulls charging into Pilgrim’s Pride

Pilgrim’s Pride has been on a huge run along with other poultry producers, and one trader is looking for more gains by the end of the year.

More than 7,600 December 15 calls have traded in a strong bullish pattern as premiums rose from $3.30 to $4.80, according to optionMONSTER’s Heat Seeker tracking system. The volume was far above the strike’s open interest of just 455

These long calls lock in the price where traders can buy the stock through mid-December no matter how far it might rise. They could be sold earlier at a profit if premiums rise with a rally before then, but they will rapidly lose value if shares fail to move higher. In either case, these calls will track the stock price closely because they are deep in the money.

Continue Reading at Option Monster

— Option Monster

You May Also Like

About the Author: Option Monster