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SyndicateTwo

12/13/07 4:59 PM

#15327 RE: sungolfer #15322

That's not that much volume, so it could be simply a bull put spread someone put on expecting the stock to be over $30 to $35 next April. Or, it could be a straight out short of those puts expecting them to be worthless (over $35) that also allows them to buy the stock here. I think that's a pretty good play there on a straight short put. You'd win either way. Between now and next April, I'm sure it would be over $30 which would allow you to profit on the put decay.

But then again, it could be someone betting incorrectly the stock was going down on earnings and rather than short, they bought deep in the money puts.