Bulls want to get money from NCR

NCR is trying to work its way higher, and the bulls are piling in.

optionMONSTER’s Heat Seeker monitoring program detected the purchase of 2,500 April 35 calls for $1.01 and the sale of an equal number of April 32 puts for $0.61. Volume exceeded open interest at both strikes, indicating that new positions were initiated.

Buying calls locks in the price where a stock can be bought, resulting in leverage to the upside, while selling puts generates income but also forces the investor to own shares in the event of a pullback. Combining the two strategies is highly bullish, mimicking the performance of being long common but with massive leverage.

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