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 whale alert can help traders discover the next big trading opportunities.
Whales are entities with large sums of money and we track their transactions here at Benzinga on our options activity scanner.
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Traders often look for circumstances when the market estimation of an option diverges away from its normal worth. Abnormal amounts of trading activity could push option prices to hyperbolic or underperforming levels.
Below are some instances of options activity happening in the Energy sector:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| AR | CALL | TRADE | BEARISH | 11/18/22 | $55.00 | $258.3K | 54.5K | 1.1K |
| CHK | CALL | TRADE | BEARISH | 06/17/22 | $110.00 | $34.5K | 331 | 727 |
| STNG | CALL | SWEEP | BEARISH | 01/20/23 | $22.00 | $295.6K | 1.2K | 611 |
| SHEL | CALL | SWEEP | BULLISH | 06/17/22 | $50.00 | $34.0K | 1.8K | 296 |
| OXY | CALL | TRADE | BEARISH | 08/19/22 | $70.00 | $25.5K | 3.5K | 274 |
| BP | CALL | SWEEP | BEARISH | 10/21/22 | $34.00 | $40.9K | 2.0K | 227 |
| RRC | PUT | TRADE | BULLISH | 06/17/22 | $30.00 | $25.0K | 405 | 110 |
| PBR | CALL | TRADE | BULLISH | 05/27/22 | $12.00 | $39.6K | 17 | 106 |
| INSW | CALL | TRADE | BULLISH | 06/17/22 | $12.50 | $118.0K | 440 | 100 |
| DVN | CALL | TRADE | BEARISH | 07/15/22 | $50.00 | $41.1K | 6.9K | 60 |
Explanation
These itemized elaborations have been created using the accompanying table.
• For AR (NYSE:AR), we notice a call option trade that happens to be bearish, expiring in 179 day(s) on November 18, 2022. This event was a transfer of 975 contract(s) at a $55.00 strike. The total cost received by the writing party (or parties) was $258.3K, with a price of $265.0 per contract. There were 54546 open contracts at this strike prior to today, and today 1162 contract(s) were bought and sold.
• For CHK (NASDAQ:CHK), we notice a call option trade that happens to be bearish, expiring in 25 day(s) on June 17, 2022. This event was a transfer of 300 contract(s) at a $110.00 strike. The total cost received by the writing party (or parties) was $34.5K, with a price of $115.0 per contract. There were 331 open contracts at this strike prior to today, and today 727 contract(s) were bought and sold.
• For STNG (NYSE:STNG), we notice a call option sweep that happens to be bearish, expiring in 242 day(s) on January 20, 2023. This event was a transfer of 255 contract(s) at a $22.00 strike. This particular call needed to be split into 8 different trades to become filled. The total cost received by the writing party (or parties) was $295.6K, with a price of $1160.0 per contract. There were 1245 open contracts at this strike prior to today, and today 611 contract(s) were bought and sold.
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• Regarding SHEL (NYSE:SHEL), we observe a call option sweep with bullish sentiment. It expires in 25 day(s) on June 17, 2022. Parties traded 34 contract(s) at a $50.00 strike. This particular call needed to be split into 4 different trades to become filled. The total cost received by the writing party (or parties) was $34.0K, with a price of $1000.0 per contract. There were 1817 open contracts at this strike prior to today, and today 296 contract(s) were bought and sold.
• Regarding OXY (NYSE:OXY), we observe a call option trade with bearish sentiment. It expires in 88 day(s) on August 19, 2022. Parties traded 50 contract(s) at a $70.00 strike. The total cost received by the writing party (or parties) was $25.5K, with a price of $511.0 per contract. There were 3518 open contracts at this strike prior to today, and today 274 contract(s) were bought and sold.
• Regarding BP (NYSE:BP), we observe a call option sweep with bearish sentiment. It expires in 151 day(s) on October 21, 2022. Parties traded 200 contract(s) at a $34.00 strike. This particular call needed to be split into 4 different trades to become filled. The total cost received by the writing party (or parties) was $40.9K, with a price of $205.0 per contract. There were 2094 open contracts at this strike prior to today, and today 227 contract(s) were bought and sold.
• Regarding RRC (NYSE:RRC), we observe a put option trade with bullish sentiment. It expires in 25 day(s) on June 17, 2022. Parties traded 100 contract(s) at a $30.00 strike. The total cost received by the writing party (or parties) was $25.0K, with a price of $250.0 per contract. There were 405 open contracts at this strike prior to today, and today 110 contract(s) were bought and sold.
• Regarding PBR (NYSE:PBR), we observe a call option trade with bullish sentiment. It expires in 4 day(s) on May 27, 2022. Parties traded 98 contract(s) at a $12.00 strike. The total cost received by the writing party (or parties) was $39.6K, with a price of $405.0 per contract. There were 17 open contracts at this strike prior to today, and today 106 contract(s) were bought and sold.
• Regarding INSW (NYSE:INSW), we observe a call option trade with bullish sentiment. It expires in 25 day(s) on June 17, 2022. Parties traded 100 contract(s) at a $12.50 strike. The total cost received by the writing party (or parties) was $118.0K, with a price of $1180.0 per contract. There were 440 open contracts at this strike prior to today, and today 100 contract(s) were bought and sold.
• For DVN (NYSE:DVN), we notice a call option trade that happens to be bearish, expiring in 53 day(s) on July 15, 2022. This event was a transfer of 20 contract(s) at a $50.00 strike. The total cost received by the writing party (or parties) was $41.1K, with a price of $2055.0 per contract. There were 6932 open contracts at this strike prior to today, and today 60 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.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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.