Workday is a company that helps other companies with their human resources tasks, like hiring people or paying them. Some big investors have been buying and selling parts of the company called options, which are like bets on whether Workday's stock price will go up or down in the future. The investors seem to think that Workday's stock price might stay between $210 and $290 for a while. Read from source...
1. The title is misleading and clickbaity: "A Look at What the Big Money is Thinking" suggests that the article will reveal some insider information or expert opinions on Workday's options, but it does not deliver any of that. Instead, it only reports on some uncommon options trades spotted by the options scanner, which are not necessarily indicative of the big money's thinking.
2. The article uses vague and ambiguous terms such as "big-money traders", "special options", and "price window" without defining or explaining them properly. This creates confusion and makes it hard for readers to understand what is going on with Workday's options.
3. The article does not provide any context or background information on Workday, its business, its performance, or its competitors. This leaves the reader uninformed and unable to judge whether the options trades are relevant or meaningful for Workday's stock price.
There are several factors to consider when making an investment decision based on this article. Some of these factors include the overall sentiment of big-money traders, the number and types of options trades, the projected price targets, and the volume and open interest data for different strike prices. Based on this information, I would recommend the following strategies:
- If you are bullish on Workday, you can buy call options with a strike price between $210.0 and $260.0, as these strike prices have high volume and open interest, indicating strong liquidity and interest from big players. You should also set a stop loss at around 5% to 10% below the entry point to minimize losses in case of a sudden downturn in the market.
- If you are bearish on Workday, you can buy put options with a strike price between $260.0 and $290.0, as these strike prices have high volume and open interest, indicating strong liquidity and interest from big players who may be betting on a decline in the stock price. You should also set a stop loss at around 5% to 10% above the entry point to minimize losses in case of a sudden rally in the market.
- If you are neutral on Workday, you can sell cash-secured put options with a strike price between $260.0 and $290.0, as these strike prices have high volume and open interest, indicating strong liquidity and interest from big players who may be looking to buy the stock at a lower price. You should also set a stop loss at around 5% to 10% below the entry point to minimize losses in case of a sudden rally in the market. Alternatively, you can sell cash-secured call options with a strike price between $210.0 and $240.0, as these strike prices have high volume and open interest, indicating strong liquidity and interest from big players who may be looking to sell the stock at a higher price. You should also set a stop loss at around 5% to 10% above the entry point to minimize losses in case of a sudden downturn in the market.
- If you are aggressive on Workday, you can buy or sell straddles with a strike price between $260.0 and $290.0, as these strike prices have high volume and open interest, indicating strong liquidity and interest from big players who may be looking to profit from a large move in the stock price in either direction