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.
A whale with a lot of money to spend has taken a noticeably bullish stance on MercadoLibre.
Looking at options history for MercadoLibre (NASDAQ:MELI) we detected 14 strange trades.
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If we consider the specifics of each trade, it is accurate to state that 64% of the investors opened trades with bullish expectations and 35% with bearish.
From the overall spotted trades, 4 are puts, for a total amount of $227,705 and 10, calls, for a total amount of $491,000.
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 $1000.0 to $1350.0 for MercadoLibre over the last 3 months.
Volume & Open Interest Development
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for MercadoLibre's options for a given strike price.
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Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of MercadoLibre's whale activity within a strike price range from $1000.0 to $1350.0 in the last 30 days.
MercadoLibre 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 |
|---|---|---|---|---|---|---|---|---|
| MELI | CALL | TRADE | BULLISH | 01/19/24 | $1200.00 | $111.7K | 104 | 4 |
| MELI | PUT | TRADE | NEUTRAL | 07/21/23 | $1330.00 | $80.0K | 3 | 17 |
| MELI | CALL | TRADE | BULLISH | 07/21/23 | $1350.00 | $77.4K | 38 | 40 |
| MELI | PUT | SWEEP | BULLISH | 12/15/23 | $1200.00 | $75.3K | 42 | 0 |
| MELI | CALL | TRADE | BEARISH | 08/18/23 | $1200.00 | $59.9K | 52 | 5 |
Where Is MercadoLibre Standing Right Now?
- With a volume of 214,256, the price of MELI is up 1.01% at $1333.42.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 76 days.
What The Experts Say On MercadoLibre:
- Credit Suisse has decided to maintain their Outperform rating on MercadoLibre, which currently sits at a price target of $1700.
- JP Morgan has decided to maintain their Overweight rating on MercadoLibre, which currently sits at a price target of $1700.
- Credit Suisse has decided to maintain their Outperform rating on MercadoLibre, which currently sits at a price target of $1730.
- BTIG has decided to maintain their Buy rating on MercadoLibre, which currently sits at a price target of $1600.
- Barclays has decided to maintain their Overweight rating on MercadoLibre, which currently sits at a price target of $1575.
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 want to stay updated on the latest options trades for MercadoLibre, Benzinga Pro gives you real-time options trades alerts.
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.