Someone with a lot of money to spend has taken a bearish stance on American Airlines Group (NASDAQ:AAL).
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 AAL, 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 11 uncommon options trades for American Airlines Group.
This isn't normal.
The overall sentiment of these big-money traders is split between 18% bullish and 81%, bearish.
Out of all of the special options we uncovered, 5 are puts, for a total amount of $310,350, and 6 are calls, for a total amount of $525,270.
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $10.0 to $25.0 for American Airlines Group over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for American Airlines Group options trades today is 24247.4 with a total volume of 30,009.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for American Airlines Group's big money trades within a strike price range of $10.0 to $25.0 over the last 30 days.
American Airlines Group 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 |
|---|---|---|---|---|---|---|---|---|
| AAL | CALL | TRADE | BEARISH | 05/13/22 | $17.50 | $185.0K | 1.1K | 1.0K |
| AAL | PUT | SWEEP | BEARISH | 01/19/24 | $10.00 | $122.0K | 87.7K | 66 |
| AAL | CALL | SWEEP | BEARISH | 05/20/22 | $22.00 | $101.6K | 14.1K | 4.5K |
| AAL | PUT | TRADE | BEARISH | 04/14/22 | $19.00 | $100.0K | 7.3K | 3.8K |
| AAL | CALL | SWEEP | BEARISH | 01/19/24 | $25.00 | $88.8K | 1.8K | 327 |
Where Is American Airlines Group Standing Right Now?
- With a volume of 46,072,145, the price of AAL is up 9.16% at $18.7.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 8 days.
What The Experts Say On American Airlines Group:
- Goldman Sachs has decided to maintain their Sell rating on American Airlines Group, which currently sits at a price target of $12.
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.
