By David Russell, reporter at OptionMonsterDUBLIN ( OptionMonster) -- Elan ( ELN) received upside option activity ahead of the drugmaker's earnings report Tuesday morning. OptionMonster's tracking systems showed 9,545 February 6 calls trading Friday in a strong buying pattern for prices ranging from 65 cents to 80 cents. Overall option volume in the name was seven times greater than average, with calls accounting for 97% of the activity. The Irish company will issue its quarterly results at a difficult time for its public image. Elan has been busy with damage control, first when its Tysabri multiple schlerosis drug was linked to brain infections and then when it retained part ownership in its corporate jet after firing 10% of its work force. The shares, however, have been bullish of late, breaking through resistance at $6.20 last month and now bouncing at their 30-day moving average. The stock closed Friday at $6.63, up 0.15%. For the calls bought Friday to turn a profit, the stock would need to rise roughly 1.5% before they expire on Feb. 18. Russell has no positions in ELN.
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