Short Vol Position Closed on Vivus (VVUS)

Shares of Vivus Inc. VVUS are higher on the session by 4.10%, currently trading at $9.90. The stock has been trading lower over the past month, but has held a much longer-term uptrend dating back to March of 2009. Options trading is favoring the call side today, with the vast majority of transactions being purchases. The heaviest volume is coming on the September $20 strike, where a block of 14,902 calls were purchased for $0.45. Open interest on the strike is 19,936 contracts, though, which suggests that a short call/short volatility position was likely closed out. This still spins a bullish thesis for the stock, though. The FDA is expected to deliver a decision regarding its weight loss drug on July 15th. VIVUS, Inc. is a biopharmaceutical company focused on the development and commercialization of therapeutic products for underserved markets. Its investigational product pipeline includes two late-stage clinical product candidates. One of these investigational products, Qnexa, has completed Phase III clinical trials for obesity, and Phase II clinical trials for diabetes and obstructive sleep apnea. Learn how to find the best stocks to trade each day in our 70 page E-Book and 90 minute online video for free.