Rigel Pharmaceuticals (RIGL) adds a nickel to $6.75 and a Jun 10 – 15 call spread trades on the stock for 85 cents, 1440X on ARCA. Looks like a buyer is opening a new bullish position. 2,000 traded on the day. Looking at the term structure of IV on this biotech, the highest vols are in May and June, suggesting some type of drug news might be due out after the April expiration. The company is working on several different treatments with Phase 2 data expected mid-2013.
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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.