AbbVie (NYSE: ABBV) has caught the attention of a deep-pocketed individual or institution with a bearish outlook, and this development should raise eyebrows among retail traders.
Our team detected this intriguing occurrence today through publicly available options history, which we diligently monitor. While the identity of this major player remains unknown, such a significant move with ABBV often suggests insider knowledge or a foreboding insight.
So, what exactly did this market whale do?
We unearthed ten noteworthy options trades involving AbbVie. This deviation from the norm piqued our interest. Among these trades, the sentiment of the high-stakes traders is divided, with a 40% bullish and 60% bearish outlook.
To break it down further, we discovered five put options with a total value of $334,151 and five call options totaling $167,195.
But what is the target price these players have in mind?
Taking into account the trading volume and open interest on these contracts, it appears that the whales have set their sights on a price range of $100.0 to $160.0 for AbbVie over the past three months.
Monitoring volume and open interest provides valuable insights when trading options. This data helps gauge liquidity and interest in AbbVie’s options across various strike prices. Below, we present the evolution of volume and open interest for both calls and puts within the strike price range of $100.0 to $160.0 over the past 30 days, specifically focusing on AbbVie’s notable whale trades.
AbbVie Option Volume and Open Interest Over the Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| ABBV | PUT | TRADE | BEARISH | 08/18/23 | $160.00 | $126.4K | 1.3K | 141 |
| ABBV | PUT | TRADE | BULLISH | 07/14/23 | $140.00 | $73.4K | 59 | 0 |
| ABBV | PUT | TRADE | BEARISH | 08/18/23 | $160.00 | $51.5K | 1.3K | 91 |
| ABBV | PUT | SWEEP | BEARISH | 01/19/24 | $125.00 | $43.4K | 4.3K | 116 |
| ABBV | PUT | SWEEP | BEARISH | 07/28/23 | $135.00 | $39.2K | 371 | 122 |
So, where does AbbVie stand at this very moment?
With a trading volume of 2,029,150, AbbVie’s price is down by a marginal -0.15%, resting at $135.36. RSI indicators suggest the stock is currently in a neutral position, neither overbought nor oversold. Furthermore, the upcoming earnings report is expected to be released in just 15 days.
Let’s take a moment to hear what the experts have to say about AbbVie:
Morgan Stanley downgraded its action to Overweight with a price target of $182.
Options undoubtedly carry higher risks compared to traditional stock trading, but they also offer greater profit potential. Seasoned options traders mitigate these risks by staying well-informed, scaling in and out of trades, relying on multiple indicators, and closely following market trends.
