The iShares Silver Trust has been active for months, and upside option activity in the exchange-traded fund is lighting up our systems once again.
Calls dominated yesterday’s trading as buyers piled into the fund early, according to OptionMonster’s tracking systems. The October 34 calls saw more than 9,000 contracts change hands, while the November 35.50 options traded more than 5,000 times.
Those calls lock in the price investors must pay to buy shares in the silver ETF, so they can generate some nice leverage with a rally. But these options will expire worthless if the stock doesn't move.