Someone with a lot of money to spend (and possibly insider knowledge) has taken an unusually bearish stance on Square: SQ.
And retail traders should know.
Looking at options activity for Square SQ we detected 15 unusual trades. If we consider the specifics of each trade, it is accurate to state that 40.0% of the investors opened trades with bullish expectations and 60.0% with bearish. From the overall spotted trades, 9 are puts, for a total amount of $3,759,439 and 6, calls, for a total amount of $713,030.
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that the smart money is targeting a price range from $190.0 to $260.0 for Square in the over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the total open interest for Square big money options trades today is 33,045 with a total volume of 14,377.
In the following chart, we are able to follow the development of volume and open interest of call and put options for Square's big money trades within a strike price range of $190.0 to $260.0 over the last 30 days.
Square 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 |
|---|---|---|---|---|---|---|---|---|
| SQ | PUT | SWEEP | BULLISH | 01/21/22 | $220.00 | $645.0K | 5.9K | 609 |
| SQ | PUT | SWEEP | BULLISH | 09/17/21 | $240.00 | $108.6K | 5.8K | 2.9K |
| SQ | PUT | TRADE | BEARISH | 06/17/22 | $210.00 | $755.9K | 2.2K | 401 |
| SQ | CALL | SWEEP | NEUTRAL | 10/15/21 | $260.00 | $100.8K | 6.3K | 2.3K |
| SQ | PUT | SWEEP | BEARISH | 09/17/21 | $260.00 | $410.9K | 5.5K | 288 |
Where Is Square Standing Right Now?
- With a volume of 5,682,544, the price of SQ is up -0.65% over the last 24 hours at $246.29.
- RSI indicators hint that the underlying stock may be approaching oversold.
- Next earnings are expected to be released in 52 days.
What The Experts Say On Square:
- JP Morgan has decided to maintain their Overweight rating on Square, which currently sits at a price target of $320.0.
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.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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