Bear Put Spread! Traders are going hogwild for Harley Davidson (HOG, news, chart, volatility) puts. 14,000 traded, compared to 938 calls. The top two trades of the day: 3,200 Feb 15 puts at the offer for $1.50 and 3,200 Feb 12.5 puts mid-market for 70 cents. With shares down $1.84 to $15.74, it looks like a bearish put spread on concerns about further losses in HOG. Outside of that, the days trades have been in 500 and fewer contracts, mostly trading offerside. ISEE sentiment data confirms opening customer put buys.
About the Author (Author Profile)
Frederic Ruffy is a well-known trader, writer, and strategist who has spent years educating investors and creating intelligent, insightful, unbiased market observations that are frequently cited by the Wall Street Journal and other financial publications. As senior analyst, Fred provides frequent and regular notes and daily updates for activity of interest.