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 Alcoa (NYSE:AA), 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 AA 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 Alcoa. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 27% leaning bullish and 72% bearish. Among these notable options, 5 are puts, totaling $413,368, and 6 are calls, amounting to $977,659.
Projected Price Targets
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $22.0 to $45.0 for Alcoa over the last 3 months.
Analyzing Volume & Open Interest
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 Alcoa's options for a given strike price.
Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Alcoa's whale activity within a strike price range from $22.0 to $45.0 in the last 30 days.
Alcoa Call and Put Volume: 30-Day Overview
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| AA | CALL | TRADE | BEARISH | 01/17/25 | $5.9 | $5.75 | $5.8 | $40.00 | $348.0K | 6.6K | 612 |
| AA | CALL | TRADE | BEARISH | 09/20/24 | $6.25 | $6.15 | $6.15 | $35.00 | $307.5K | 1.2K | 590 |
| AA | CALL | TRADE | BULLISH | 01/17/25 | $4.25 | $4.15 | $4.22 | $45.00 | $211.0K | 3.5K | 2 |
| AA | PUT | SWEEP | BEARISH | 01/17/25 | $8.3 | $8.2 | $8.25 | $40.00 | $127.0K | 5.0K | 442 |
| AA | PUT | SWEEP | BEARISH | 01/17/25 | $8.45 | $8.35 | $8.45 | $40.00 | $116.6K | 5.0K | 3 |
About Alcoa
Alcoa Corp is a vertically integrated aluminum company whose operations include bauxite mining, alumina refining, and the manufacture of primary aluminum. It is a bauxite miner and alumina refiner by production volume, and its profits are closely tied to prevailing commodity prices along the aluminum supply chain. The company segments include Bauxite; Alumina and Aluminum. It generates maximum revenue from the Aluminum segment. Geographically, it derives a majority of its revenue from the United States.
Following our analysis of the options activities associated with Alcoa, we pivot to a closer look at the company's own performance.
Present Market Standing of Alcoa
- Trading volume stands at 3,111,008, with AA's price up by 0.14%, positioned at $36.0.
- RSI indicators show the stock to be may be overbought.
- Earnings announcement expected in 12 days.
What Analysts Are Saying About Alcoa
A total of 1 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $32.0.
- An analyst from B of A Securities has decided to maintain their Neutral rating on Alcoa, which currently sits at a price target of $32.
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 Alcoa, 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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