This doesnt mean that all of these trades are actionable. The Smart Money Saw it First. Learn more. Follow The Smart Money - Unusual Option Activity - #1 Way We Choose Our Eventually, Pete became the President of Mercury Trading. In the meantime, be sure to follow Jons regularly scheduled, Rebellion-exclusive shows inside the Rebel Hub. Some sites have compiled free screeners that use a one-factor model to present unusual options activity. Sanofi SA SNY was also active. Get real-time UOA trading insights and LIVE-market analysis throughout each trading day as part of our community of elite traders. That means, not only are they putting a lot on the line to make a bearish bet theyre predicting that the move will be big. Surprisingly informative. Instead, understand the process by which trade ideas are chosen from the potential unusual options activity. Follow The Smart Money - Unusual Option Activity: #1 Way We Choose Our You may find other books as helpful and maybe more so but this is a good introduction. Najarian jumped in and he is going to . It looks at where options (calls or puts) are being bought, primarily compared against historic or normal levels. This is not a waste of time. The trade breaks even at $49.80 or 1.78% above the closing price on Thursday. A company may release great news and have the stock price barely budge or even go down. Not only did they nail the bottom in this high-volatility name they got in just weeks before Microsoft (MSFT) would announce that they were planning to acquire ATVI for $95 per share. By clicking below, you also agree to our Terms of Use and acknowledge our Privacy Policy. (We discuss why this is in further detail in the Why do we trade unusual options activity section below.). If a trade is a large notional dollar amount, traded on the offer, with high options volume that exceeds open interest, well out-of-the-money, and a small likelihood of the price naturally reaching there as it relates to implied volatility, then that trade is certainly unusual. Jon Najarian, Pete's brother, was a trader who got Pete into trading. Pete Najarian and Marc LoPresti discuss Rivian's recent struggles amid an underwhelming earnings report! Over 10,000 contracts were traded in the first half of the session and Najarian followed the trade. This is not a waste of time. Najarian Brothers See Unusual Activity In Abercrombie & Fitch, Under Tesla investors were hoping for announcements about the highly anticipated Model 2. Follow The Smart Money - Unusual Option Activity 9781732911314 | eBay By clicking Get Access, you agree to receive marketing offers from Market Rebellion, and its affiliates, subsidiaries, or agents in the form of emails, pre-recorded messages, text messages, and autodialed calls at the email address and phone number provided above, even if the phone number is present on a state or national Do Not Call list. At the time, Twitters share price had been cut in half from its $80 all-time high reached in February of 2021. GLUU is a stock that often flies under the radar of most traders so when we saw these colossal back-to-back option trades, we flagged it immediately for its highly bullish sentiment. Click here to explore all of our amazing FREE shows on Market Rebellion TV. In the options market, thats a trade that stands out so much you cant help but notice it; a trade or, more frequently, a series of trades with essentially no reasonable explanation other than someone must know the stock price is going in one direction or the other. Then, on April 4th, renowned Tesla (TSLA) CEO Elon Musk disclosed that he had acquired a 9.2% stake in the company. If you would like to customise your choices, click 'Manage privacy settings'. Get a custom-designed trading program tailored to your individual needs, skill level, and schedule. Jon Najarian, co-founder of Market Rebellion, explains the unintended consequences of 0 days to expiration (0DTE) options. This book is totally worthless even if you only pay$9.95 for shipping and handling. $9.99. On the opposite side, it doesnt mean that a large trade executed on the offer with a close expiration date is unusual. Brief content visible, double tap to read full content. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs. But theres another explanation for the Smart Money in unusual options activity: Wall Street hedge funds, pension funds, and other big money traders amassing huge positions. 3) They Are On CNBC All The Time The reason the Najarian brothers have so much credibility is they appear on Fast Money on CNBC. Market Rebellion is not giving investment advice, tax advice, legal advice, or other professional advice. One of the best investment books out there, Reviewed in the United States on January 15, 2020. Three Keys to Identifying UOA. As small and nimble traders, we focus on capitalizing while these big funds are still amassing their market-moving position. !The legend is coming to Making Money. John and Pete Najarian's Follow The Smart Money??? - reddit It takes analysis and work, and then proper position sizing and management. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs. Tune in and get fresh stock market insights from Jon and watch him unveil the latest in Unusual Options Activity. Najarian Brothers Highlight Unusual Option Activity In Verizon - Yahoo! Free shipping. Explore unusual options activity memberships from Market Rebellions best in the business trades: Our services and education products provide information from Jon Najarian, Pete Najarian and our team of analysts and educators on trading options and securities as well as cryptocurrencies, tokens and coins (together Digital Assets). By clicking Get Access, you agree to receive marketing offers from Market Rebellion, and its affiliates, subsidiaries, or agents in the form of emails, pre-recorded messages, text messages, and autodialed calls at the email address and phone number provided above, even if the phone number is present on a state or national Do Not Call list. Najarian Brothers See Unusual Options Activity In Melco - Benzinga Volume alone is not enough to identify potential insider moves. Data rates may apply. Whilst the Najarian brothers did create a reliable algorithm that detects changes in trading volume, but they and Cramer are just hired to hype up the market or redirecting attentions away from some industries 3 More posts you may like Join 22 days ago Brief content visible, double tap to read full content. Full content visible, double tap to read brief content. Please try again. , , , , , , . . These can be a good place to start, but are often cluttered with a lot of noise, like hedges and multi-legged option strategies, that can lead you astray. This activity is particularly ripe for trade ideas. Built for fast-paced traders. BTW - I dont think there is an easy way to learn the Greeks. We are sorry. Youll learn nothing from me. Supporting posts: Finally, well give you a sneak peek at our unusual options activity trade alerts and connect you with additional resources to learn more. Submit your email and well send you an article that takes you deep inside the minds of our UOA analysts. Najarian jumped in the trade and he is going to . Najarian Brothers - Facebook Volume: Volume is the number of trades over a given time period. Silvergate Capital Just Got Cut in Half. Follow The Smart Money is an excellent book for those who are interested in learning about options, the stock market, and unusual options activity. The trade breaks even at $19.15 or 9.12% above the current stock price. Theres nothing wrong with that; its just not unusual options activity. Market Rebellion is not giving investment advice, tax advice, legal advice, or other professional advice. . It is simply a measure of how many times a given security exchanged hands. The book is an easy read with basic concepts but there are many better books available. Dont be stupid though. Reviewed in the United States on October 26, 2020. Theres fundamental research, technical analysis, and order flow analysis. Around 2,500 contracts of the April $18 calls were traded in Nuance Communications Inc. NUAN for $1.15. Insiders offer one easy explanation for the source of unusual options activity. That means if youre planning on trading unusual options activity, you need to make sure youre looking at the whole picture by applying additional filters. In even simpler terms, youre looking for a polar bear walking on a beach. Catch Jon Najarian on Fox Business with Charles Payne: November 30th, at 2pm EDT, and then once again in studio on December 7th. You can check out the latest episode of the [emailprotected] below. That announcement caused shares of Activision to soar by 26%. Your recently viewed items and featured recommendations. The beauty of this strategy is that it doesnt really matter to us who it is in particular. The Najarian brothers track the options market closely -- in this clip they reveal the unusual buying activity they're seeing. Knowing what weve described about unusual options activity, the profile of the perfect trade is likely obvious. For example, we like to see high volume relative to open interest. These can be a good place to start, but are often cluttered with a lot of noise that you will want to narrow down with additional filters.