| Will Suncor have happy holidays? | |
| | |
|
Traders are betting that Suncor Energy will rally by the end of the year.
About 5,100 December 28 calls were bought for $1.66 to $1.69 yesterday, according to optionMONSTER's Heat Seeker tracking program. This is clearly new positioning, as open interest in the strike was only of 1,338 contracts before the trades appeared.
Long calls lock in the price where investors can buy a stock, letting them position for a rally at limited cost with the potential for significant leverage. They carry less risk than owning shares because the most that can be lost is the price of the options no matter how far the stock might fall. Yesterday's calls will closely track the share price because they are at the money . (See our Education section)
SU slipped 0.71 percent to $28.05 yesterday. The oil-sands company is down about 11 percent on the year but has risen nearly 10 percent in the last month as energy names rebounded with the price of crude. Its next quarterly results are scheduled for Oct. 28.
Overall option volume in Suncor yesterday was more than triple its daily average for the last month. Total calls outpaced puts by a bullish 9-to-1 ratio.
More From optionMONSTER
|
|
| |
ProfilIndicateurs de MarchéVALEUR : Projets & res.Communiqués de PresseRapport annuelRISQUE : Profile actifsContactez la cie |
Suncor Energy est une société de production minière et de pétrole basée au Canada. Suncor Energy détient divers projets d'exploration au Canada. Son principal projet en exploration est SUNCOR OPERATIONS & BASE MINE au Canada. |