Replies to post #103465 on Biotech Values

[Rocky3]

I am long MNTA, anybody has any alternative analysis of option play being setup here?

Did you read the option posts yesterday?

I think that the understanding is that a "big boy" bought 12.50 puts and sold 10 puts. He/she is betting that the stock will be between 10 and 12.50 in January. Look for zipjet and my posts discussing the financial results of the "ratio spread."

I am trying to do the opposite with March 20 and 25 calls. Little success so far, but the day is young.

[zipjet]

I find the open interest (OI) for MNTA troubling.

The data almost certainly is wrong. The only way (that I can think of) it could be correct is for huge opening and closing transactions to take place the same day. That is highly unlikely.

I have seen this so many times that I largely ignore the OI data.

ij