Someone with a lot of money to spend has taken a bullish stance on Alibaba Group Holding BABA.
And retail traders should know.
We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.
Whether this is an institution or just a wealthy individual, we don't know. But when something this big happens with BABA, it often means somebody knows something is about to happen.
So how do we know what this whale just did?
Today, Benzinga's options scanner spotted 17 uncommon options trades for Alibaba Group Holding.
This isn't normal.
The overall sentiment of these big-money traders is split between 64% bullish and 35%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $220,981, and 14 are calls, for a total amount of $918,633.
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $90.0 to $160.0 for Alibaba Group Holding over the last 3 months.
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 Alibaba Group Holding'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 Alibaba Group Holding's whale activity within a strike price range from $90.0 to $160.0 in the last 30 days.
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| BABA | CALL | SWEEP | BULLISH | 01/20/23 | $110.00 | $196.6K | 12.9K | 337 |
| BABA | CALL | SWEEP | BULLISH | 09/30/22 | $98.00 | $129.6K | 716 | 227 |
| BABA | PUT | SWEEP | BEARISH | 01/20/23 | $100.00 | $121.4K | 26.2K | 106 |
| BABA | CALL | SWEEP | BULLISH | 09/23/22 | $92.00 | $83.0K | 427 | 100 |
| BABA | CALL | SWEEP | BEARISH | 01/20/23 | $110.00 | $74.7K | 12.9K | 95 |
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 Alibaba Group Holding, Benzinga Pro gives you real-time options trades alerts.
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