Options Brief: LSI Corp.

LSI – LSI Corp. – Investors sold in- and out-of-the-money call options on LSI Corp. throughout the trading session today with shares of the semiconductor company trading 1.8% lower on the day to arrive at $4.30 by 3:15 pm ET. Trading traffic was heaviest in the April 2011 contract where more than 30,000 calls changed hands. Traders sold at least 11,000 in-the-money calls at the April 2011 $4.0 strike at an average premium of $0.65 per contract. Another 14,400 calls were sold at the higher April $5.0 strike for an average premium of $0.20 apiece. Perhaps call sellers are expecting LSI’s shares to continue fall. Investors keep the full premium received on the sale if the calls land out-of-the-money at expiration.

About Andrew Wilkinson 1023 Articles

Affiliation: Interactive Brokers

Andrew Wilkinson is the senior market analyst at Interactive Brokers Group, where he provides daily commentary and analysis on U.S. equity options trading throughout the trading day. Andrew provides webinars designed to explain option-related trading scenarios covering futures, fixed income, forex and equities.

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