Traders want to generate some profits with electricity producer Calpine.
OptionMonster's tracking programs detected the purchase of some 1,600 June 21 calls for $0.55 to $0.70. Volume was more than 10 times previous open interest at the strike, indicating that new positions were initiated.
These calls lock in the price where shares can be purchased, letting investors cheaply position for a rally before the end of the week. The contracts can also generate significant leverage, doubling or tripling from even a small gain in the underlying stock.