Investors with a lot of money to spend have taken a bullish stance on MercadoLibre MELI.
And retail traders should know.
We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.
Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with MELI, it often means somebody knows something is about to happen.
So how do we know what these investors just did?
Today, Benzinga's options scanner spotted 23 uncommon options trades for MercadoLibre.
This isn't normal.
The overall sentiment of these big-money traders is split between 52% bullish and 47%, bearish.
Out of all of the special options we uncovered, 5 are puts, for a total amount of $161,937, and 18 are calls, for a total amount of $780,907.
What's The Price Target?
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $1030.0 to $1800.0 for MercadoLibre during the past quarter.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for MercadoLibre options trades today is 37.41 with a total volume of 140.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for MercadoLibre's big money trades within a strike price range of $1030.0 to $1800.0 over the last 30 days.
MercadoLibre Call and Put Volume: 30-Day Overview
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MELI | CALL | SWEEP | BEARISH | 02/16/24 | $1685.00 | $93.8K | 1 | 43 |
| MELI | CALL | TRADE | BULLISH | 03/15/24 | $1030.00 | $65.9K | 0 | 1 |
| MELI | CALL | SWEEP | NEUTRAL | 03/15/24 | $1730.00 | $65.1K | 8 | 6 |
| MELI | CALL | TRADE | BEARISH | 01/17/25 | $1660.00 | $62.8K | 68 | 0 |
| MELI | CALL | TRADE | BULLISH | 02/16/24 | $1685.00 | $61.5K | 1 | 23 |
About MercadoLibre
MercadoLibre runs the largest e-commerce marketplace in Latin America, connecting a network of more than 148 million active users and 1 million active sellers as of the end of 2022 across an 18-country footprint. The company also operates a host of complementary businesses, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.
Having examined the options trading patterns of MercadoLibre, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Where Is MercadoLibre Standing Right Now?
- Trading volume stands at 98,493, with MELI's price down by -2.85%, positioned at $1683.75.
- RSI indicators show the stock to be may be approaching overbought.
- Earnings announcement expected in 13 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 want to stay updated on the latest options trades for MercadoLibre, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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