Upside Sold on MGIC Investment Corporation (MTG)

Shares of MGIC Investment Corporation MTG are higher on the session by 3.72%, currently trading at $8.65. The stock has been moving largely higher over the past three months, though recently came under selling pressure and is now testing the 200-day moving average. Options traders are selling upside calls on the name today. A short while ago 8,750 January 2011 $10.00 calls were sold (single block) for $0.36, followed by the sale of 8,750 Jan 2011 $10.00 calls (single block) for $0.36. Total volume on the strike is now nearing 19,000 contracts. Given that the open interest on the strike is 19,252 contracts, this may be a liquidation of long calls. MGIC Investment Corporation is a holding company. Through its wholly owned subsidiaries, the company provides private mortgage insurance in the United States. As of December 31, 2009, the company's principal subsidiary, Mortgage Guaranty Insurance Corporation, was licensed in all 50 states of the United States, the District of Columbia, Puerto Rico and Guam.