Forest Labs (FRX) hit a low of $31.18 and is now down 23 cents to $31.46. Options action is running 2X the average daily, with 6661 puts and 1630 calls traded so far. April 30 puts are the most actives. 6000 traded (22% Mid / 71% Ask), including a sweep of 3536 at the 65-cent asking price. Looks like an opening buyer bracing for short-term weakness in shares of the pharmaceutical company. Implied volatility is up 7 percent to 46. No news on the stock today and nothing immediate on the company’s event calendar. Earnings expected around April 20.
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.