Dendreon (DNDN, news, chart, volatility) is seeing some action midday Friday. Shares are down 4 cents to $4.52. Brean Murray mentioned the stock along with several others today in their biotech recommendations for 09. The firm believes DNDN is a good short idea based on expectations for Phase 3 failure by the middle of next year. Sentiment in the options market seems mixed. Recent trades include 5,000 January-10 2.5/7.5 call spreads traded broker to broker for $1.20. Another player appears to be playing DNDN with a butterfly spread in the January 09 puts by selling roughly 2,000 January 5s and buying half as many of both the 2.5s and 7.5s. With significant existing open interest, it is possible the Fly is a closing trade.