25 Feb 2016
29 Jun 2016
01 Mar 2016
By optionMONSTER Staff
U.S. Steel has bounced recently, and traders are looking for more gains in the beaten-down name.
optionMONSTER's tracking program detected the purchase of 3,000 May 11 calls for $0.62 to $0.69 at the same time today. Volume was more than 9 times the open interest at the strike, which indicates that new money was put to work.
Long calls lock in the price where investors can buy stock, allowing them to profit from a rally with limited capital at risk. Their cheap cost can also generate significant leverage on a percentage basis if shares move in the right direction.(See our Education section)
X is up 8.06 percent to $8.98 in afternoon trading and has rallied 25 percent in the last month. The steel maker reported bearish results on Jan. 26 and is expected to announce its next quarterly numbers after the close on April 26.