Option Bear Bets on Deeper Losses for Ford Stock

One trader is betting on Ford to decline through the end of 2018

Jul 6, 2018 at 2:30 PM
facebook X logo linkedin


Options volume has been light overall this holiday week, but one stock drawing major attention from traders today is Ford Motor Company (NYSE:F). Nearly 36,000 puts have changed hands, with volume on pace to more than double the automaker's daily average of about 19,000 contracts. Conversely, today's F call volume of 16,719 contracts represents about half the expected intraday level.

The most active option strikes today are the August 12 put and the December 11 put, where upwards of 10,000 contracts apiece have crossed the tape. Shortly after 10 AM Eastern this morning, matching blocks of 9,872 contracts traded at these two strikes, with the August 12 puts crossing at the bid of $1.20 and the December 11 puts going off at the ask price of $0.78. Based on open interest levels at each strike -- and as confirmed by Trade-Alert -- it looks as though one trader is rolling the August-dated options out to the December series and down to the 11 strike.

Essentially, this trader is betting on deeper and more prolonged losses for Ford stock, which has shed 10.4% so far in 2018. In fact, after a close last Friday below its 10% year-to-date loss marker of $11.12, F has been held in check by this round percentage level all week long.

In today's session, Ford shares are flat at $11.05. Auto stocks are trading mixed overall this afternoon, as the sector catches its collective breath following Thursday's big gains on tariff optimism.

ford stock 30-minute 0706

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI