Did anyone else catch the Herbalife Call buyers of 19162 Calls for January 18, 2014 for $4.50? Herbalife scare's me because I think Carl Ichan and George Soros and Post Cereals CEO is going to dump their shares with a fat gain of over 100% What direction do you think Herbalife is going to head? Plus or minus $80? Another huge MLM is Nu-skin (NUS) and at my kids School Carnival, three different booths with Nu-skin reps were selling these products and telling me about all the new products Anti-Oxidant and Free Radical Killers.. The Reps told me all the new products were selling decently (If we can take their word at face-value). Herbalife built a brand new retreat across the street from my house for high sellers of their product, what do you think about Nu-skin and Herbalife? 12/19/2013 80.00 HLF140118C00080000 4.35 Up 0.53 $4.2 $4.45 Vol. 19,160 Open Interest 20,375 Calls 5001 1/18/2004 Puts were sold leaving Open Interest at 3200 contracts. Does this mean somebody decided to close out a large position of calls?
If OI went (and still is up) after the call-buying then it was an intitiation trade, no? That being said large trades go through all the time and they can also be wrong...
Tsk-Tsk, Thank's for that info! I am still learning as much as possible about option trading. What's the reason somebody would sell out the January $90 Puts and buys on the January $80 Calls? HLF was up $2 today, I am still afraid of buying HLF so instead I bought some January UA $85 Calls for $3.20.
NUS and HLF charts are total bulls long term. HLF looks pretty toppy on daily chart. Selling puts is one way to try to buy the stock shares at a cheaper price, so that could be actually bullish.