Data Source: Barchart
On Tuesday some institution/fund purchased 18,003 contracts of JUN 2022 $120 strike calls (or the right to buy 1,800,300 shares of Alibaba Group Holding Limited (BABA) at $120). The open interest was just 9,345 prior to this purchase.
Monitoring unusual options activity can be a useful tool. Large amounts of options being traded on a particular stock may provide some valuable insight into what the “smart money” is doing.
