Option Movers | Nvidia Call Option Soars 1031% in One Day; PDD Faces High Bearish Sentiment
Market Overview
All three major U.S. stock indexes closed higher on Wednesday with a boost from the technology sector offsetting investor disappointment at an early morning inflation report, which crushed hopes the Federal Reserve would cut interest rates by 50 basis points next week.
Regarding the options market, a total volume of 45,812,068 contracts was traded.
Top 10 Option Volumes
Top 10: $Nvidia(NVDA)$, $Tesla(TSLA)$, $Apple(AAPL)$, $Amazon(AMZN)$, $AMD(AMD)$, $GameStop(GME)$, $Palantir(PLTR)$, $Broadcom(AVGO)$, $Intel(INTC)$, $Meta(META)$
Shares of $NVIDIA Corp(NVDA)$ rose 8.15% on Wednesday after Chief Executive Jensen Huang said the company was experiencing stellar demand for its artificial intelligence chips.
Speaking at a Goldman Sachs conference in San Francisco, Huang said that tensions had risen among Nvidia’s customers as they scrambled to obtain a limited supply of the company’s advanced AI chips, Bloomberg reported.
He said that the firm was experiencing strong demand for its newest generation of AI chips, called Blackwell, and said that companies would have no choice but to embrace "accelerated computing" to keep up with demand for AI.
There are 6.29M Nvidia option contracts traded on Wednesday, up 153% from the previous trading day. Call options account for 63% of overall option trades. Particularly high volume was seen for the $115 strike call option expiring September 13, with 261,024 contracts trading. The $115 strike call option expiring this Friday surged 1031% on Wednesday. $NVDA 20240913 115.0 CALL$
$Meta(META)$ rose 1.39% on Wednesday.
There are 235.66K Meta option contracts traded on Wednesday. Call options account for 60% of overall option trades. Particularly high volume was seen for the $510 strike call option expiring September 13, with 12,308 contracts trading. $META 20240913 510.0 CALL$
Unusual Options Activity
$Broadcom(AVGO)$ shares up 6.79% on Wednesday. At the ABC 2024 presidential debate, vice president Harris said she wants to invest in American-based technology to win the race on AI and quantum computing.
There are 335.91K Broadcom option contracts traded on Wednesday. Call options account for 63% of overall option trades. Particularly high volume was seen for the $160 strike call option expiring September 13, with 13,547 contracts trading. $AVGO 20240913 160.0 CALL$
$Oracle(ORCL)$ shares up 0.83% on Wednesday. Oracle stock had gained 50.57% year to date. Its strong run was helped by momentum for its Oracle Cloud Infrastructure business, including from winning cloud-computing contracts from AI-focused startups. That has helped Oracle outrun struggles that have hit other software stocks this year.
There are 122.81K Oracle option contracts traded on Wednesday. Call options account for 55% of overall option trades. Particularly high volume was seen for the $160 strike call option expiring September 13, with 8,430 contracts trading. $ORCL 20240913 160.0 CALL$
TOP Bullish & Bearish Single Stocks
This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).
If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.
Based on option delta volume, traders sold a net equivalent of -404,911 shares of $PDD Holdings Inc(PDD)$ stock. The largest bearish delta came from selling calls. The largest delta volume came from the 13-Sep-24 Call, with traders getting short 356,893 deltas on the single option contract.
Top 10 bullish stocks: $Nvidia(NVDA)$, $TSMC(TSM)$, $Apple(AAPL)$, $Robinhood(HOOD)$, $U.S. Steel(X)$, $Amazon(AMZN)$, $Microsoft(MSFT)$, $Nio(NIO)$, $AMD(AMD)$, $New York Community Bancorp(NYCB)$
Top 10 bearish stocks: $GameStop(GME)$, $Rivian(RIVN)$, $Alphabet(GOOGL)$, $DraftKings(DKNG)$, $STMicroelectronics(STM)$, $Clover Health(CLOV)$, $PDD Holdings(PDD)$, $ZipRecruiter(ZIP)$, $SoFi Technologies(SOFI)$, $Innoviz Technologies(INVZ)$
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$(NVDA)$ $(TSLA)$ $(AAPL)$ $(AMZN)$ $(AMD)$ $(GME)$ $(PLTR)$ $(AVGO)$ $(INTC)$ $(META)$ $(PDD)$ $(ORCL)$Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
