Dish Network Bulls Are Back for Seconds

Dish Network Bulls Are Back for Seconds
Daniel Acker | Bloomberg | Getty Images

Dish Network has been delectable for the bulls so far, and yesterday they were looking for another quick snack.

OptionMonster's monitoring programs detected early buying in the October 35 calls for $0.10. After some 3,000 contracts changed hands for that price, the stock quickly started to fight back from a drop at the open.

Calls lock in the price investors must pay to buy stock, so they can generate some nice leverage in the event of a rally. And rally Dish did, ending the session up 4.75 percent to $35.74.

While that was a nice gain for the shareholders, option traders really cleaned up. Those calls inflated exponentially, at one point gaining more than 800 percent in a matter of hours to $0.95. The stock needed to move quickly for the trade to work because the options expire this afternoon.

Earlier this month, investors bought January calls and sold January puts as Dish Network shares held support above their 100-day and 200-day moving averages. They paid about $1.14 to enter that position, which is now worth $4.85 after the stock pushed higher.

Total option volume in the satellite-television and communications company was 10 times greater than average in yesterday's session.

—By CNBC Contributor David Russell

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David Russell is a reporter and writer for OptionMonster. Russell has no positions in DISH.