Traders Roll the Dice on International Game Technology
July 05, 2011 4:44 PM
Shares of International Game Technology (NYSE: IGT) ended the session lower by 1.83%, trading at $17.66. While the stock has been trading in a wide channel over the past three months, call buyers are looking for shares to burst higher over the next few weeks.
The August $19.00 strike saw some serious action with over 10,000 contracts traded, 81% of which was on the offer. Volume handily eclipsed the open interest of 107 contracts.
This is an interesting trade given that International Game Technology is current in an overbought condition. Typically traders will wait for this to be worked off (by price correction or time correction) before betting on more upside.
Note that International Game Technology has a 5.14% short interest.
International Game Technology is a global gaming company specializing in the design, manufacture, and marketing of electronic gaming equipment and systems. IGT maintains a range of entertainment-inspired gaming product lines. In addition to its main production facility in Nevada, IGT manufactures in the United Kingdom and through third-party manufacturers in China.
