Benzinga | Nov 24, 2021 12:50PM EST

Check Out What Whales Are Doing With NIO

Someone with a lot of money to spend has taken a bearish stance on NIO (NYSE:NIO).

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 NIO, 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 19 uncommon options trades for NIO.

This isn't normal.

The overall sentiment of these big-money traders is split between 42.11% bullish and 57.89%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $415,625.00, and 16 are calls, for a total amount of $581,569.00.

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 $30.0 to $60.0 for NIO over the last 3 months.

Volume & Open Interest Development

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for NIO's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of NIO's whale activity within a strike price range from $30.0 to $60.0 in the last 30 days.

NIO 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 InterestNIO PUT TRADE BULLISH 01/20/ $60.00 $266.5K 5.7K 60 23NIO PUT TRADE BULLISH 01/20/ $60.00 $122.5K 5.7K 10 23NIO CALL TRADE BEARISH 01/20/ $50.00 $91.5K 21.7K 146 23NIO CALL TRADE NEUTRAL 05/20/ $50.00 $54.0K 4.6K 20 22NIO CALL TRADE BEARISH 05/20/ $40.00 $42.8K 4.1K 82 22

Where Is NIO Standing Right Now?

* With a volume of 20,305,285.00, the price of NIO is down -0.08% at $42.01.

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

* Next earnings are expected to be released in 96 days.

What The Experts Say On NIO:

* Deutsche Bank downgraded its action to Buy with a price target of $70.0

* Bernstein downgraded its action to Market Perform with a price target of $45.0

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.