27% profits every 20 days?
This is what Nic Chahine averages with his options 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.
Someone with a lot of money to spend has taken a bearish stance on Snap (NYSE:SNAP).
And retail traders should know.
We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.
Whether this is an institution or just a wealthy individual, we don't know. But when something this big happens with SNAP, it often means somebody knows something is about to happen.
So how do we know what this whale just did?
Today, Benzinga's options scanner spotted 11 uncommon options trades for Snap.
This isn't normal.
The overall sentiment of these big-money traders is split between 45% bullish and 54%, bearish.
Out of all of the special options we uncovered, 4 are puts, for a total amount of $602,576, and 7 are calls, for a total amount of $799,193.
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $8.0 to $55.0 for Snap over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for Snap options trades today is 4491.33 with a total volume of 16,534.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for Snap's big money trades within a strike price range of $8.0 to $55.0 over the last 30 days.
Snap Option Volume And Open Interest Over Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| SNAP | PUT | SWEEP | BEARISH | 01/14/22 | $47.00 | $343.4K | 14.0K | 2.5K |
| SNAP | CALL | SWEEP | NEUTRAL | 02/11/22 | $42.00 | $321.9K | 5.0K | 1.7K |
| SNAP | CALL | SWEEP | BULLISH | 02/11/22 | $42.00 | $207.8K | 5.0K | 3.0K |
| SNAP | PUT | SWEEP | BULLISH | 01/14/22 | $44.00 | $196.6K | 14.1K | 2.7K |
| SNAP | CALL | TRADE | NEUTRAL | 01/21/22 | $8.00 | $132.6K | 716 | 40 |
Where Is Snap Standing Right Now?
- With a volume of 24,015,035, the price of SNAP is down -8.75% at $38.99.
- RSI indicators hint that the underlying stock may be approaching oversold.
- Next earnings are expected to be released in 21 days.
What The Experts Say On Snap:
- JP Morgan has decided to maintain their Overweight rating on Snap, which currently sits at a price target of $65.
- Cowen & Co. downgraded its action to Market Perform with a price target of $45
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you are already an options trader or would like to get started, head on over to Benzinga Pro. Benzinga Pro gives you up-to-date news and analytics to empower your investing and trading strategy.
27% profits every 20 days?
This is what Nic Chahine averages with his options 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.
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