Investors with a lot of money to spend have taken a bullish stance on Vale VALE.
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 VALE, 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 10 uncommon options trades for Vale.
This isn't normal.
The overall sentiment of these big-money traders is split between 50% bullish and 40%, bearish.
Out of all of the special options we uncovered, 5 are puts, for a total amount of $859,857, and 5 are calls, for a total amount of $302,290.
Expected Price Movements
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $1.0 to $13.0 for Vale during the past quarter.
Insights into Volume & Open Interest
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Vale's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Vale's substantial trades, within a strike price spectrum from $1.0 to $13.0 over the preceding 30 days.
Vale Option Volume And Open Interest Over Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| VALE | PUT | SWEEP | BULLISH | 09/20/24 | $2.6 | $2.56 | $2.59 | $13.00 | $515.8K | 1.5K | 3.0K |
| VALE | PUT | SWEEP | BULLISH | 09/20/24 | $2.6 | $2.56 | $2.59 | $13.00 | $232.1K | 1.5K | 1.0K |
| VALE | CALL | TRADE | NEUTRAL | 12/20/24 | $9.55 | $9.45 | $9.5 | $1.00 | $95.0K | 240 | 100 |
| VALE | CALL | TRADE | BULLISH | 01/17/25 | $7.6 | $7.45 | $7.55 | $3.00 | $90.6K | 291 | 0 |
| VALE | CALL | TRADE | BULLISH | 01/17/25 | $7.6 | $7.45 | $7.55 | $3.00 | $60.4K | 291 | 120 |
About Vale
Vale SA is a large global miner and the world's largest producer of iron ore and pellets. In recent years the company has sold noncore assets such as its fertilizer, coal, and steel operations to concentrate on iron ore, nickel, and copper. Earnings are dominated by the bulk materials division, primarily iron ore and iron ore pellets. The base metals division is much smaller, consisting of nickel mines and smelters along with copper mines producing copper in concentrate. Vale has agreed to sell a minority 13% stake in energy transition metals, its base metals business, which is expected to become effective in 2024, and which is likely the first step in separating base metals and iron ore.
After a thorough review of the options trading surrounding Vale, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Current Position of Vale
- With a volume of 20,080,043, the price of VALE is down -2.26% at $10.4.
- RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
- Next earnings are expected to be released in 63 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 Vale, 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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