There are several methods that can be used for finding interesting options trades. Sometimes it’s illuminating to look at very large block trades or spreads. Other times, it may be digging into unusual options volume in stocks that normally don’t trade many options contracts. The latter is the case we’re looking at here, with SPDR […]

Regional banking stocks saw their prices take a major haircut earlier this year during the banking crisis (perpetuated by the failure of Silicon Valley Bank). SPDR S&P Regional Banking ETF (KRE) saw its stock price drop from about $60 per share to under $40. However, just last week, a large block trade in KRE options […]

 After what has been a lackluster summer so far for gold, the precious metal could be due for a rebound in the coming year. A trader purchased a large block of calls in Barrick Gold (GOLD), one of the largest gold mining companies in the world. These calls don’t expire for another year and won’t […]

It’s the summer doldrums in the trading world, so traders are making due with whatever the market is willing to give. For instance, last week a strategist placed what appears to be a covered call trade in the Financial Select Sector SPDR ETF (XLF). This popular financial sector ETF is generally not very volatile and […]

A very large call spread options trade in VanEck Gold Miners ETF (GDX) could suggest that gold prices are going to be much higher in the next six months. GDX is a popular proxy for trading gold as it is composed of the largest gold mining companies in the world. Last week, a strategist appeared […]

Sometimes large block options trades can leave you scratching your head. For example, why would Nikola (NKLA), a publicity- challenged electric truck company, have a 50,000-lot 3-way spread trade in its options? After all, the stock is only trading around $1 per share. It looks like this could be a cheap put spread collar for […]

Short-term options trades have become increasingly popular in recent months. These types of trades can be used for both speculation and hedging. For instance, a strategist apparently decided that the day of the FOMC meeting was a good time to buy a bearish put spread on iShares US Real Estate ETF (IYR). This two-week block […]

Analyzing block trades in options (very large trades) can be enlightening, but it can also leave you scratching your head at times. For example, last week someone appeared to sell a strangle nearly 50,000x (selling both a call and a put around the stock price) in Nu Holdings (NU) . This strategy will make over […]

 For investors who follow steel stocks, there may be some good news on the horizon. Steel companies have taken a hit in recent months, including Cleveland-Cliffs (CLF), which is down 14% year-to-date. However, a trader purchased what appears to be a bullish call spread in CLF options that expires in August. This 10,000-lot vertical spread […]

An intriguing 3-legged options trade occurred in ride-sharing giant, Uber (UBER) last week. This strategy, known as a put spread collar, traded 24,000 times and has an August expiration. The purpose of this trade is generally to protect the downside for those that own the stock. With a put spread collar, the downside loss is […]