U.S. Steel is seeing aggressive put buying on heavy volume Monday, as the stock closes in on its 52-week low.
X stock is down more than 11 percent to just over $22 and nearing its November low of just under $21. As the stock fell this morning, traders were buying the March 22.5 puts in large blocks, with more than 10,000 contracts changing hands in the first hour of the session alone, according to OptionMonster's tracking systems.
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Until it began to decline a little over a week ago, X had been trading in a fairly tight channel for the last three months. The stock may look relatively cheap at these levels, but today's put action may indicate expectations for further pressure.
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Big Steel Rivals:
Arcelor Mittal
Nucor
POSCO
AK Steel
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Pete Najarian is a professional investor, CNBC contributor, regular co-host of CNBC's "Fast Money" and co-founder of .
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