Short X (sell calls)

Short X (US Steel) via selling the July 200 calls.

Calls are mispriced for a moment, perhaps a retail customer putting on a spread, wanting to buy the call. I pick off the modest premium before someone else does. First time I can remember reporting a trade like this on the blog, so it isn't my style to look for mispricing.

X is in a waterfall decline, which can be a high risk formation. However, my calls are 50 points out of the money and above the old high of 195, with nine days until expiration.

Positions: long SPY, short RIMM, X