Amarin Corp Plc (AMRN)

[FlyFishingStocks]

August $3 Calls

Been thinking about the odd Aug $3 call trade yesterday. Someone or possibly a few people (relatives?) put up $42,000.00 in the hopes their investment will make good by August 19th.
Two possible scenarios:
1. The trade was place by one person (naive about trading). He/she probably called a broker and said, “I have 42k to invest, please buy me a cheap out of the money option with an August expiration.” This person obviously knows something positive is going to happen before the projected interim readout (partnership, forthcoming news, early announcement??)
2. My platform won’t let me trade more than 2000 contracts at a time, so perhaps the trade was placed by more than one person (relatives in the know?); 2000, 2000, 2000, 100 respective trades?
For them to choose an expiration that is a month earlier than the projected announcement makes me more confident that they know something. Something that gives them an assurance their bets will pay off.
Even from a TA standpoint, the price objective of this pattern is 4.50:


If BC’s stairway to heaven changes trajectory as a result of taking out the previous high, or news, or magnified squeeze or all the above, then we easily reach 4.50 and close the Oct/2014 gap by August. If that were to happen, that 42k investment would be worth approximately $900,000.00! Come August the investor/investors could either sell the calls or have the shares called to them (each contract is worth 100 shares priced at 3.00!) and then hold through the announcement of a halt. This is a great way to cheaply leverage the runup to interim and/or get a lot of shares at a potential discount. It also provides a nice cushion against any price slump if the trial is not halted.