Canopy Growth (NASDAQ:CGC) shares experienced unusual options activity on Wednesday. The stock price moved up to $20.21 following the option alert.
- Sentiment: BEARISH
- Option Type: TRADE
- Trade Type: CALL
- Expiration Date: 2021-08-20
- Strike Price: $20.00
- Volume: 218
- Open Interest: 1362
Three Signs Of Unusual Options Activity
Exceptionally large volume (compared to historical averages) is one reason for which options market activity can be considered unusual. The volume of options activity refers to the number of contracts traded over a given time period. Open interest is the number of unsettled contracts that have been traded but not yet closed by either counterparty. In other words, open interest represents the quantity of contracts that individual parties have written but not yet found a counterparty for (i.e. a buyer finding a seller, or a seller finding a buyer).
The trading of a contract with an …