Real-Time Quote
US News
Page 1 of 2 | Next Page
Show Entire Article

Reliance Steel Attracts Stock Option Bulls | October 19, 2011 | 07:38 AM EDT

Option activity has turned bullish on Reliance Steel & Aluminum ahead of its earnings report next week.

The December 38 calls saw some quick action, followed by more than 2,000 December 41s in some big chunks for $2, according to OptionMonster's real-time tracking systems.

The trades lock in an entry price on the stock so that if the shares climb, the options will move even more. The calls traded with the shares down about 1 percent shortly after the open, but RS then pushed its way higher and closed the session up 4.05 percent to $39.55.

Reliance provides metal-processing services and distributes more than 100,000 products to customers in a range of industries. Its quarterly results are scheduled for Oct. 27.

More than 3,600 calls traded against 200 puts at all strikes in the name, a reflection of the bullish sentiment.

Second Opinion: Steel Industry Faces Tough Times

—Najarian has no positions in RS.
  • More Options Tips from Pete Najarian
  • Options Tips from Jon Najarian
  • Read The CNBC Stock Blog
  • ___________________________Options Trading School:

  • Options Terminology: Glossary
  • Basic Strategies — with Examples
  • Options Basics: The ABCs
  • ___________________________

    Page 1 of 2 | Next Page
    Show Entire Article
    Real-Time Quote
    omniture pixel