Put Position Rolled on Emulex Corp. (ELX)

Shares of Emulex Corp.

are lower on the session by 1.24%, currently trading at $9.93. The stock has been drifting lower and lower over the past four months; it is also trading below both the 50-day and 200-day moving averages. Options traders are bracing for more downside. One trader rolled a put position on the October $10 strike out to the January $10 strike; he or she did this 968 times. Open interest data on each strike confirms a roll. Put volume is now running at 7.5x the daily average. Emulex Corporation is a provider of a range of storage networking infrastructure solutions that connect servers, storage and networks within the data center. The company's product portfolio includes host bus adapters (HBAs), converged network adapters (CNAs), mezzanine cards for blade servers, and embedded storage bridges, routers, switches and input/output controllers (IOCs).