Options Bears Corner Stumbling Halliburton Company (HAL)

Halliburton Company (HAL) has seen interest in short-term puts

Digital Content Group
Feb 11, 2015 at 11:29 AM
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Halliburton Company (NYSE:HAL) will be cutting up to 6,400 jobs, as it looks to lower costs amid falling oil prices. Elsewhere, antitrust regulators have requested additional informational concerning its purchase of sector peer Baker Hughes Incorporated (NYSE:BHI). Today's news has been enough to worry some speculators, as the stock's weekly puts have seen notable attention.

Looking at the data shows buy-to-open activity at the weekly 2/13 41-strike put. These traders are expecting HAL to fall below $41 by the close this Friday, when the weekly contracts expire.

Elsewhere, HAL has struggled on the charts lately. Since hitting a mid-November high of $58, the shares have dropped 27.5%, last seen 1.3% lower at $42.04. However, the equity recently hurdled its 10-week moving average, which could serve as support -- as it did during the first half of 2014.

The majority of analysts covering Halliburton Company (NYSE:HAL) have taken a positive stance. Eighteen brokerage firms call the security a "buy" or better, with eight others deeming it a "hold" or worse.

Weekly Chart of HAL Since February 2014 With 10-Week Moving Average
 

 

 

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