Call Buyers Target Sketchers

Shares of Sketchers (NYSE: SKX) have faltered as of late after a HUGE run up in recent months, but some traders are betting that the shoe apparel company may not be out of gas yet. I am detecting a call roll in the name today where 9,000 of the May $40 calls were sold on the bid for $0.80 and 9,000 of the October $40/50 call spreads were purchased for $1.35. Given the respective open interest on those lines it is clear that the trader closed out the near dated calls and opened the call-spread position.

Sketchers is currently trading lower on the session to $38.07, off 4.13% on the session.