Protection Purchased on AOL
Shares of AOL Inc. (AOL) are trading lower on the session by 1.1%, at $35.08. The stock has been moving largely higher over the past six months, though it is currently testing the 50-day moving average support level.
One trader is buying puts on the name today. Overall put volume has pushed to 7.4x normal volume in the first hour of trading, with 6,282 puts traded. The heaviest action is coming on the November $34.00 put.
The strike saw a flurry of buy activity moments ago with a total of 1,208 puts purchased, on the offer, for $0.75. The action culminated in a block of 3,290 puts being purchased, also on the offer, for $0.85. With total volume on the strike reaching 4,500 contracts, this looks like new positioning given current open interest of 3,322.
30-day implied volatility is popping 6.1% today to 37.72%; 10-day realized vol remains at 22.86%.
AOL Inc. is a global Web services company with a range of brands and offerings and a global audience. The company's business spans online content, products and services, which it offers to consumers, publishers and advertisers.
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