FedEx reports earnings today before the bell this morning, and traders are looking for the stock to deliver.
OptionMonster's tracking programs detected a roll up from the June 105 calls to the July 110s. They sold the 105s for $0.52 and bought the 110s for $0.59, so the transaction cost a net $0.07.
Calls lock in the price where they can buy shares in the parcel company, providing cheap exposure to a rally. They can also generate some nice leverage if the stock pushes higher.
FedEx rose 1.09 percent to $99.48 yesterday. The company is in the process of trying to adjust as customers slowly move away from the most expensive express-delivery services, partly by controlling costs.
Rolling those contracts out to June also helped them avoid losing money into expiration this Friday. Calls outpaced puts by 24,000 to less than 13,000, a reflection of the bullish sentiment.
Total option volume in the name was 8 times greater than average in the session.
—By CNBC Contributor Pete Najarian
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Pete Najarian is a professional investor, CNBC contributor, regular co-host of CNBC's "Fast Money" and co-founder of OptionMonster.com. Najarian owns FDX calls.