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.
Deep-pocketed investors have adopted a bearish approach towards Bank of America (NYSE:BAC), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in BAC usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 11 extraordinary options activities for Bank of America. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 45% leaning bullish and 54% bearish. Among these notable options, 2 are puts, totaling $100,555, and 9 are calls, amounting to $468,559.
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 $23.0 to $40.0 for Bank of America over the last 3 months.
Volume & Open Interest Trends
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Bank of America's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Bank of America's substantial trades, within a strike price spectrum from $23.0 to $40.0 over the preceding 30 days.
Bank of America Option Activity Analysis: Last 30 Days
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| BAC | CALL | SWEEP | BEARISH | 04/19/24 | $23.00 | $105.1K | 571 | 131 |
| BAC | CALL | TRADE | BEARISH | 01/19/24 | $31.00 | $95.0K | 39.7K | 2.8K |
| BAC | PUT | SWEEP | BULLISH | 04/19/24 | $31.00 | $57.6K | 878 | 0 |
| BAC | CALL | SWEEP | BULLISH | 01/17/25 | $25.00 | $51.0K | 28.4K | 132 |
| BAC | PUT | SWEEP | BEARISH | 01/17/25 | $32.00 | $42.9K | 23.6K | 188 |
About Bank of America
Bank of America is one of the largest financial institutions in the United States, with more than $2.5 trillion in assets. It is organized into four major segments: consumer banking, global wealth and investment management, global banking, and global markets. Bank of America's consumer-facing lines of business include its network of branches and deposit-gathering operations, retail lending products, credit and debit cards, and small-business services. The company's Merrill Lynch operations provide brokerage and wealth-management services, as does its private bank. Wholesale lines of business include investment banking, corporate and commercial real estate lending, and capital markets operations. Bank of America has operations in several countries but is primarily U.S.-focused.
Having examined the options trading patterns of Bank of America, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Present Market Standing of Bank of America
- Currently trading with a volume of 4,918,370, the BAC's price is down by -0.71%, now at $30.6.
- RSI readings suggest the stock is currently is currently neutral between overbought and oversold.
- Anticipated earnings release is in 38 days.
What Analysts Are Saying About Bank of America
A total of 3 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $38.0.
- An analyst from Keefe, Bruyette & Woods has elevated its stance to Market Perform, setting a new price target at $30.
- Maintaining their stance, an analyst from Goldman Sachs continues to hold a Buy rating for Bank of America, targeting a price of $33.
- Consistent in their evaluation, an analyst from Oppenheimer keeps a Outperform rating on Bank of America with a target price of $51.
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 Bank of America, Benzinga Pro gives you real-time options trades alerts.
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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