Benzinga | Dec 21, 2021 11:26AM EST

What Are Whales Doing With Alibaba Group Holding

Someone with a lot of money to spend has taken a bullish stance on Alibaba Group Holding (NYSE:BABA).

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 BABA, 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 23 uncommon options trades for Alibaba Group Holding.

This isn't normal.

The overall sentiment of these big-money traders is split between 56% bullish and 43%, bearish.

Out of all of the special options we uncovered, 7 are puts, for a total amount of $605,051, and 16 are calls, for a total amount of $1,509,199.

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 $110.0 to $250.0 for Alibaba Group Holding 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 Alibaba Group Holding'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 Alibaba Group Holding's whale activity within a strike price range from $110.0 to $250.0 in the last 30 days.

Alibaba Group Holding 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 InterestBABA CALL SWEEP NEUTRAL 05/20/ $125.00 $601.5K 592 700 22BABA PUT TRADE BEARISH 01/20/ $250.00 $262.0K 6.2K 27 23BABA CALL SWEEP NEUTRAL 04/14/ $160.00 $176.6K 5.4K 878 22BABA PUT TRADE BULLISH 06/16/ $120.00 $156.5K 1.6K 56 23BABA CALL TRADE BULLISH 03/18/ $115.00 $153.0K 1.2K 201 22

Where Is Alibaba Group Holding Standing Right Now?

* With a volume of 6,576,838, the price of BABA is up 5.55% at $121.38.

* RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.

* Next earnings are expected to be released in 42 days.

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.