Very Large Call Purchases Trade on Zimmer Holdings (ZMH)

Shares of Zimmer Holdings, Inc.

are higher on the session by 1.63%, currently trading at $50.92. The stock has been moving largely lower over the past six months, moreover since the beginning of the year. ZMH has respected the 50-day moving average as a sell signal throughout. Options traders are buying calls on the name today, though, betting that the stock will not fail at the 50-day. A short while ago the March 2011 $65.00 call was purchased 24,198 times (single block), on the offer, for $0.40. An hour later, anther single block of 10,000 contracts traded between the bid/ask for $0.40, which is likely a continuation purchase. Call volume is dramatically high for such a large company ($10.3 billion market cap), running at over 4,200x the daily average. Zimmer Holdings, Inc. designs, develops, manufactures and markets orthopaedic reconstructive implants, dental implants, spinal implants, trauma products and related surgical products. It also provides other healthcare related services. For more great research like this, as well as how to play it through options…please visit

and

.