United Parcel Service has pulled back from this year's highs, but some bulls are hoping that it will deliver some profits.
OptionMonster's tracking systems detected a large institutional trade in the transportation and logistics company yesterday. A trading sold about 13,000 April 80 calls for $1.76 and rolled the position to the July 85 calls, which were bought for $0.86.
Calls lock in the purchase price for the stock, so they can generate some nice leverage in the event of a rally. But these options will lose value if the shares don't rise within the designated time frame, so yesterday's trader adjusted his or her position to pick up another three months of upside exposure while looking for the stock to rise an additional $5.