Some people who have a lot of money are betting that a company called Affirm Holdings will not do well in the future. They are using something called options to make these bets. Options are like special tickets that let you buy or sell a stock at a certain price and for a limited time. In this case, most people who bought options expect the company's value to go down. The possible prices they are watching are between $35 and $75 per share. Read from source...
1. The title is misleading and sensationalized, as it implies that there are some hidden or exclusive trends in Affirm Holdings's options trading, which is not the case. The article does not provide any concrete evidence or analysis of how these trends are "behind the scenes" or what makes them different from other trades.
2. The author uses vague and imprecise terms like "whales", "bearish stance", "bullish expectations" without defining them or explaining their relevance to the options trading of Affirm Holdings. This creates confusion and ambiguity for the readers who are not familiar with options trading terminology or concepts.
3. The article does not provide any context or background information on Affirm Holdings, its business model, its performance, its competitors, or its market position. This makes it hard for the readers to understand why they should care about the options trades of this company and how they relate to its overall value proposition.
4. The article relies heavily on numerical data without explaining what they mean, how they are calculated, or how they are relevant to the options trading of Affirm Holdings. For example, it mentions the number of trades, the amount of money involved, the percentage of bullish and bearish investors, but does not connect them to any meaningful conclusions or insights.
5. The article ends with a predicted price range that is based on volume and open interest, which are common indicators of options trading activity, but do not necessarily reflect the actual demand or supply of Affirm Holdings's stock or its future performance. This creates a false impression of certainty and accuracy, while hiding the inherent uncertainty and risk involved in options trading and stock market investing.
Based on my analysis of the article, I would recommend buying puts options on Affirm Holdings with a strike price between $35.0 and $75.0, expiring in the next 30 days. This is because there is a significant bearish sentiment among whales, who have opened 62% of their trades with bearish expectations. Additionally, the volume and open interest indicate that these large investors are targeting a price range between $35.0 and $75.0 for Affirm Holdings in the near term. This suggests that there is a high likelihood of a downward movement in the stock price within this time frame. However, as with any option trade, there are risks involved, such as the possibility of an unexpected market event or news that could impact the stock price in either direction. Therefore, it is important to monitor the situation closely and adjust your strategy accordingly if necessary.