27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
This unusual options alert can help traders track potentially big trading opportunities. Traders often look for circumstances when the market estimation of an option diverges away from its normal worth. Unusual trading activity could push option prices to hyperbolic or underperforming levels.
Below are some instances of unusual options activity happening in the Information Technology sector:
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| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| AAPL | CALL | SWEEP | NEUTRAL | 12/18/20 | $125.00 | $102.1K | 156.6K | 117.8K |
| AMD | CALL | SWEEP | BULLISH | 12/18/20 | $100.00 | $30.2K | 29.5K | 75.5K |
| TSM | CALL | TRADE | BULLISH | 12/31/20 | $115.00 | $402.8K | 260 | 7.0K |
| NVDA | CALL | SWEEP | BULLISH | 12/18/20 | $550.00 | $31.4K | 12.0K | 3.2K |
| NOK | CALL | SWEEP | BULLISH | 01/21/22 | $5.00 | $40.2K | 170.1K | 2.4K |
| MVIS | CALL | TRADE | BULLISH | 02/19/21 | $3.00 | $37.5K | 8.4K | 2.2K |
| IBM | PUT | TRADE | BEARISH | 01/15/21 | $115.00 | $107.0K | 11.0K | 2.1K |
| ORCL | CALL | TRADE | BULLISH | 12/18/20 | $60.00 | $36.0K | 7.8K | 1.9K |
| INTC | CALL | SWEEP | BULLISH | 12/24/20 | $51.00 | $87.4K | 1.2K | 1.6K |
| MU | CALL | SWEEP | BULLISH | 12/24/20 | $74.00 | $36.0K | 900 | 964 |
Explanation
These itemized elaboration has been created using the accompanying table.
• For AAPL (NASDAQ:AAPL), we notice a call option sweep that happens to be neutral, expiring in 3 day(s) on December 18, 2020. A trader bought 450 contract(s) at a $125.00 strike. This particular call needed to be split into 4 different trades to become filled. The trader or institution spent $102.1K on this trade with a price of $227.0 per contract. There were 156672 open contracts at this strike prior to today, and today 117822 contract(s) were bought and sold.
• Regarding AMD (NASDAQ:AMD), we observe a call option sweep with bullish sentiment. It expires in 3 day(s) on December 18, 2020. A trader bought 405 contract(s) at a $100.00 strike. This particular call needed to be split into 5 different trades to become filled. The trader or institution spent $30.2K on this trade with a price of $74.0 per contract. There were 29528 open contracts at this strike prior to today, and today 75556 contract(s) were bought and sold.
• For TSM (NYSE:TSM), we notice a call option trade that happens to be bullish, expiring in 16 day(s) on December 31, 2020. A trader bought 6945 contract(s) at a $115.00 strike. The trader or institution spent $402.8K on this trade with a price of $58.0 per contract. There were 260 open contracts at this strike prior to today, and today 7029 contract(s) were bought and sold.
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• Regarding NVDA (NASDAQ:NVDA), we observe a call option sweep with bullish sentiment. It expires in 3 day(s) on December 18, 2020. A trader bought 228 contract(s) at a $550.00 strike. This particular call needed to be split into 44 different trades to become filled. The trader or institution spent $31.4K on this trade with a price of $138.0 per contract. There were 12040 open contracts at this strike prior to today, and today 3246 contract(s) were bought and sold.
• Regarding NOK (NYSE:NOK), we observe a call option sweep with bullish sentiment. It expires in 402 day(s) on January 21, 2022. A trader bought 980 contract(s) at a $5.00 strike. This particular call needed to be split into 10 different trades to become filled. The trader or institution spent $40.2K on this trade with a price of $41.0 per contract. There were 170136 open contracts at this strike prior to today, and today 2403 contract(s) were bought and sold.
• Regarding MVIS (NASDAQ:MVIS), we observe a call option trade with bullish sentiment. It expires in 66 day(s) on February 19, 2021. A trader bought 300 contract(s) at a $3.00 strike. The trader or institution spent $37.5K on this trade with a price of $125.0 per contract. There were 8460 open contracts at this strike prior to today, and today 2205 contract(s) were bought and sold.
• For IBM (NYSE:IBM), we notice a put option trade that happens to be bearish, expiring in 31 day(s) on January 15, 2021. A trader bought 1070 contract(s) at a $115.00 strike. The trader or institution spent $107.0K on this trade with a price of $100.0 per contract. There were 11085 open contracts at this strike prior to today, and today 2110 contract(s) were bought and sold.
• Regarding ORCL (NYSE:ORCL), we observe a call option trade with bullish sentiment. It expires in 3 day(s) on December 18, 2020. A trader bought 200 contract(s) at a $60.00 strike. The trader or institution spent $36.0K on this trade with a price of $180.0 per contract. There were 7847 open contracts at this strike prior to today, and today 1933 contract(s) were bought and sold.
• Regarding INTC (NASDAQ:INTC), we observe a call option sweep with bullish sentiment. It expires in 9 day(s) on December 24, 2020. A trader bought 1346 contract(s) at a $51.00 strike. This particular call needed to be split into 47 different trades to become filled. The trader or institution spent $87.4K on this trade with a price of $65.0 per contract. There were 1224 open contracts at this strike prior to today, and today 1632 contract(s) were bought and sold.
• Regarding MU (NASDAQ:MU), we observe a call option sweep with bullish sentiment. It expires in 9 day(s) on December 24, 2020. A trader bought 300 contract(s) at a $74.00 strike. This particular call needed to be split into 18 different trades to become filled. The trader or institution spent $36.0K on this trade with a price of $120.0 per contract. There were 900 open contracts at this strike prior to today, and today 964 contract(s) were bought and sold.
Options Alert Terminology
- Call Contracts: The right to buy shares as indicated in the contract.
- Put Contracts: The right to sell shares as indicated in the contract.
- Expiration Date: When the contract expires. One must act on the contract by this date if one wants to use it.
- Premium/Option Price: The price of the contract.
For more information, visit our Guide to Understanding Options Alerts or read more news on unusual options activity.
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.