Benzinga | Sep 22, 2021 12:29PM EDT

What Is The Smart Money Doing With Bank of America?

Someone with a lot of money to spend (and possibly insider knowledge) has taken an unusually bearish stance on (Bank of America: BAC).

And retail traders should know.

Looking at options activity for Bank of America (NYSE:BAC) we detected 14 unusual trades. If we consider the specifics of each trade, it is accurate to state that 21.43% of the investors opened trades with bullish expectations and 78.57% with bearish. From the overall spotted trades, 2 are puts, for a total amount of $195,564 and 12, calls, for a total amount of $1,413,677.

What's The Price Target?

Taking into account the Volume and Open Interest on these contracts, it appears that the smart money is targeting a price range from $39.0 to $40.5 for Bank of America in the over the last 3 months.

Volume & Open Interest Development

In terms of liquidity and interest, the total open interest for Bank of America big money options trades today is 75,634 with a total volume of 9,338.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Bank of America's big money trades within a strike price range of $39.0 to $40.5 over the last 30 days.

Bank of America Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:



Symbol PUT/ Trade Sentiment Exp. Strike Total Trade Open Volume CALL Type Date Price Price InterestBAC CALL SWEEP BEARISH 01/20/ $40.00 $127.5K 37.5K 1.3K 23BAC CALL SWEEP BEARISH 01/19/ $40.00 $163.7K 877 1.5K 24BAC CALL TRADE BEARISH 01/20/ $40.00 $127.5K 37.5K 1.1K 23BAC CALL SWEEP BEARISH 01/19/ $40.00 $162.5K 877 1.0K 24BAC CALL SWEEP BEARISH 01/20/ $40.00 $127.5K 37.5K 867 23

Where Is Bank of America Standing Right Now?

* With a volume of 6,674,840, the price of BAC is up 2.22% over the last 24 hours at $40.0.

* RSI indicators hint that the underlying stock may be approaching oversold.

* Next earnings are expected to be released in 21 days.

What The Experts Say On Bank of America:

* Odeon Capital upgraded its action to Buy with a price target of $46.5

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 are already an options trader or would like to get started, head on over to Benzinga Pro. Benzinga Pro gives you up-to-date news and analytics to empower your investing and trading strategy.