Call Options on ETE on 6/2/2017

Energy Transfer Equity, L.P. (ETE) provides diversified energy-related services in the United States.

It owns and operates approximately 7,900 miles of natural gas transportation pipelines and three natural gas storage facilities in Texas; and approximately 11,800 miles of interstate natural gas pipelines.

The company sells natural gas to electric utilities, independent power plants, local distribution companies, industrial end-users, and other marketing companies. Its midstream operations include ownership and operation of natural gas and NGL gathering pipelines, natural gas processing plants, natural gas treating facilities, and natural gas conditioning facilities in Texas, New Mexico, West Virginia, Pennsylvania, and Louisiana; natural gas gathering, oil pipeline, and oil stabilization facilities in South Texas; a natural gas gathering system in Ohio; and transportation and supply of water to natural gas producers in Pennsylvania.

The company's natural gas liquid (NGL) transportation and services operations include ownership of approximately 1,400 miles of NGL pipelines, five NGL and propane fractionation facilities, and NGL storage facilities. It also sells gasoline, middle distillates, and motor fuel at retail, as well as crude oil, NGLs, and refined products; operates convenience stores; and distributes motor fuels and other petroleum products.

In addition, it provides natural gas compression services; treating services, such as carbon dioxide and hydrogen sulfide removal, natural gas cooling, dehydration, and British thermal unit management services; and manages coal and natural resources properties, as well as sells standing timber, leases coal-related infrastructure facilities, collects oil and gas royalties, and generates a total of 75 megawatts electrical power.

Shares have rebounded from the $17 support level.  This morning, a trader paid 53c for 45K July 18 calls to open a new position tied to a delta hedge of 1.76M shares at $17.0485. Block is 5x the average daily call volume in the name. We are following the trader's lead and will open a position.

We will be trading July 21 Call Options

52-Weeks Trading Range: $12.100 - $20.050

Last Trade: $17.15

Trade Buy 1 July $17.00 Call at $0.95 For a net debit of $0.95 Profit/Loss Analysis Breakeven at $17.95 Maximum profit is unbounded Maximum loss is ($95.00) at strike of $17.00 Closing Summary Sold 1 July $17.00 Call at $1.30

Position closed on 7/20/2017 at price of $1.30 with a 36.84% gain in 47 days.

Updates

7/20/2017 9:44:57 AM

ETE July $17 Call closed at $1.30. 

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