Cabot Oil & Gas Corp (NYSE: COG) is receiving some attention today after proxy advisory firm Institutional Shareholder Services (ISS) cautiously recommended that shareholders of Cimarex Energy (XEC) vote in favor of its proposed merger with the company. The vote for both companies is scheduled for Sept. 29. However, pressure on the natural gas sector is weighing on COG today, after a build in supply and lower forecast in demand for next week. At last check, Cabot Oil & Gas stock was down 4.2% to trade at $19.13.

Today's dip has the stock faltering from yesterday's 11-month highs. Since the start of September alone, COG is up 20.6% and has broken above pressure its 320-day moving average, a trendline that kept a lid on a July rally. It's worth noting that the security is past due for a short-term correction, however. This is per the stock's 14-day Relative Strength Index (RSI) of 89, which sits firmly in "overbought" territory. 

Of the 13 analysts in coverage, just three carry a "strong-buy" rating on COG, with the remaining 10 a "hold" or worse. Meanwhile, short interest represents 8.2% of the stock's available float, or over four days' worth of pent-up buying power. 

Though calls are still winning out on an absolute basis, puts are more popular than usual in the options pits. The equity's 10-day put/call volume ratio of 0.52 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) stands higher than 85% of readings in its annual range. 

It's also worth noting that COG ranks low on Schaeffer's Volatility Scorecard (SVS), with a score of just 6 out of 100. In other words, the security has consistently realized lower volatility than the options pits have priced in, making the equity a potential premium-selling candidate.