Traders Making Large Bets on Ryland Group Inc (RYL) Call Options

Ryland Group Inc (RYL) is a homebuilder with operations in the United States. RYL stock is currently trading around $41.67 in a 52 week range of $30.33-$49.66. The stock has been performing relatively well this year with shares rallying just over 7.8% year to date. The stock is seeing a nice move higher today as shares rally by nearly 3% on the session. On this move higher we are seeing some very bullish unusual options activity indicating that traders believe this move will continue.

Earlier this morning a trader bought 4,331 RYL Jun 42 Calls for $1.40. RYL has traded over 7.1 times its average daily options volume today and nearly 8,000 contracts have now traded on that line. This block of calls in RYL also represents a more than $600,000 bet on further upside in RYL. After these calls hit the tape RYL saw a pop higher and these calls moved higher with the stock. These calls have already traded as high as $1.64 on the day making this a very profitable trade.

Trade: A trader bought 4,331 RYL Jun 42 Calls for $1.40
Risk: $140 per 1 lot
Reward: Unlimited
Breakeven: $43.40

If a trader bought a 20 lot of these calls they would have profited $480 at the highs in a matter of minutes.

Regards,
Andrew Keene
President/Founder
KeeneOnTheMarket.com

Submit a Comment

Your email address will not be published.

TradeThirsty

Your ultimate source of knowledge about the markets.

Recent Posts

Get Our Free Daily Trading Videos

Delivered To your Inbox

By submitting your information you agree to our Terms of Service and our Privacy Policy