Options News
$UPST calls trade up at highs
Upstart Holdings Inc (UPST) is trading at new highs today, lending big profits to bullish option positions. Just yesterday, Oct. 14, Market Rebellion’s Unusual Activity Service found that 2,400 October $360 calls, expiring today, were bought for $2.90 to $5.50 above open interest of 1,921 contracts with shares at $348.89. Those calls traded for up to […]
Just yesterday, Oct. 14, Market Rebellion’s Unusual Activity Service found that 2,400 October $360 calls, expiring today, were bought for $2.90 to $5.50 above open interest of 1,921 contracts with shares at $348.89.
Those calls traded for up to $40.80 today, at least 7 times their purchase prices. The stock rose 14.86% in the same time frame, showing how quickly options can far outpace gains in 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.
UPST ended the session up 2.72% at $390.00 today.