By Jud Pyle, CFA, chief investment strategist for the Options News NetworkLooking at Chesapeake Energy ( CHK), we see that more than 15,000 of the Jan 2011 5 puts have traded today. Current open interest in these put contracts was previously just 138 contracts, according to the Sidewinder report at www.onn.tv. So it is easy to determine that today's activity will likely translate as new open interest. What is interesting about this activity is that this volume was initiated by one buyer. The puts traded for around 60 cents, meaning the investor needs the stock to close below $4.40 at January 2011 expiration for the puts to be in the money at expiration. That is a drop of almost 80% from current levels (but the stock has more than a year and a half to make the move). Shares of CHK were up more than 4% Friday, to $20.80. There is no particular news in the name, but the stock is rallying along with the rest of the market, as well as the energy stocks, which are moving higher on the strength in oil today.