$NVDA call buyers double money intraday

$NVDA call buyers double money intraday


Bullish option traders are seeing fast profits today in NVIDIA Corporation (NVDA).

This morning on Feb. 7Market Rebellion’s Unusual Option Activity Service found that 15,000 Weekly $220 calls, expiring this Friday, were bought for $2.24 to $3.30 with shares at $212.00. This was clearly fresh buying, as open interest in the contract was just 10,449 before the activity appeared.

Those calls traded for as much as $6.54 this session, about double their average purchase price. The stock rose 4.57% at the same time, underscoring how quickly options can far outperform their underlying shares.

Long calls lock in the price where investors can buy a stock, letting them position for a rally at limited cost with the potential for significant leverage. They carry less risk than owning shares because the most that can be lost is the price of the options no matter how far the stock might fall.

NVDA was last at $218.88, up 3.79% on the day.

Ready to start trading? Try Unusual Option Activity Essential. Learn how you can follow the “smart money” with a fresh UOA trade idea each week – including technical levels so that you know how to manage each trade!

Subscribe to Rebel Roundup for your weekly digest of market highlights and free trading lessons.
We’re on a mission to empower retail traders with the tools they need to succeed.

Join a growing community of traders with Market Rebellion

Join the thousands of users daily!