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Nikola Sees Flurry of Bearish Trades as Tech Names Hit Turbulence

by | Aug 22, 2022 | Options

In Monday’s Blitz Daily with Lance Ippolito, we take a look at EV company Nikola as it sees a spike in bearish options activity.

Monday’s markets have opened the selling floodgates after spending last week range-bound with inflation woes and monthly options expiration volatility. If you weren’t buckled up for the turbulence, you can’t say I didn’t warn you.

Tech names are leading the way down as traders look to take risk off their sheets, dropping the Nasdaq around 2.5% on the day…

Among Monday’s biggest losers is self-proclaimed electric vehicle company Nikola, whose shares tanked more than 8% amid a flurry of massive put buying.

My scanners spotted one deep-pocketed bear stocking up on more than 12,000 contracts of the Aug. 26 expiration, $5.5 strike puts for more than $265,000 in premium!

And if that trade isn’t sparking joy, I have more outsized options flow waiting below…

  • Nikola Corp.  (Nasdaq: NKLA): Aug. 26, $5.50 PUT. 
  • Target Inc. (NYSE: TGT): Nov. 18, $150 PUT. 
  • Alibaba Group Holding Ltd. (NYSE: BABA): Sept. 16, $94 CALL.

Check out my short video and I’ll break down the day’s most unusual options order flow in no time flat! 

P.S. [Warning] Some Viewers May Find This Offensive

Joy of the Trade’s Jeff Zananiri went live Tuesday with a brand-new way to trade… 

Did you miss it? Watch his amazing presentation here.

But before you watch it, we need to WARN you… What you’re about to see will NOT be what you expect.

It will be controversial… Maybe even offensive… Nonetheless, Jeff believes it will be incredibly beneficial. 

This Is What He’s Uncovered… (viewer discretion advised.)

Blitz Daily With Lance Ippolitto

At Weekly Blitz Alerts, we follow the big fish and what they’re buying. And we do that with my proprietary Blitz Tracker, which alerts me to big, institutional options order flow throughout the day. Then we get in on these plays and follow the “smart money.”  

By doing this, we cash in whether the broader market is going up, down or sideways. 

The Blitz Daily with Lance Ippolito is where I go over a handful of options trades that hit my Blitz Tracker each day, Monday through Thursday. I will break down the trade with the sexiest order flow and tell you exactly what I think can happen with that stock by the next day’s opening bell. 

If you want in on these fast-moving options plays, with entry, exit and profit targets sent directly to you via text and email alerts, be sure to sign up for Weekly Blitz Alerts!  

In the meantime, you can follow me @LanceIppolito on Twitter, Instagram and our YouTube channel for more trading insights and tips. And as always, you can find me right here talking stocks and options trading — and printing money — on WealthPress.com!

WRITTEN BY<br>Lance Ippolito

Lance Ippolito

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