Qihoo 360 Technology Co Ltd. (QIHU) is an internet based company engaged in internet services in the People’s Republic of China. QIHU is trading at $58.92 around the lower end of its 52 week range of $44.56-$104.81. Year to date the stock has performed in line with the market rallying 3.55%. The stock ripped to the upside today by about 7.20% or $3.96.
Early in the session a trader bought 2,500 of the QIHU June 5th Weekly 55.5 Calls for $1.09 when the stock was trading at $56.30. This investor was most likely establishing a short-term position considering the June 5th weekly Calls were bought. This order was recorded about half an hour after the open on OptionHacker, and the stock rose about $4.06 to $60.36 after the trade hit the tape. Over 3,160 contracts have been traded today hinting at bullish sentiment. The QIHU June 5th Weekly 55.5 Calls for $1.09 have traded as high as $4.30 today making this a highly profitable trade. This stock has been trading above the Ichimoku Cloud for a few days now.
Trade: A trader bought 2,500 of the QIHU June 5th weekly 55.5 Calls for $1.09
Risk: $109 per 1 lot
If a trader bought a 20 lot of these Calls they would have profited $6,420 at the highs on $2,180 in risk. This is a great example of a hugely profitable UOA trade.