• Ticker: TSLA
  • Sentiment: BULLISH
  • Trade Type: CALL
  • Moneyness: Out of the money
  • Expiration Date: 2020-11-06
  • Strike Price: $450
  • Stock Price: $422.50
  • Volume: 38,954
  • Open Interest: 7,893
  • Notes: new position since volume > open interest
view all unusual options activity for Tesla stock

Opening vs closing orders

Option chains offer us two valuable pieces of information for each option contract traded, the volume and open interest. Volume is the number of contracts traded during this trading day. Open interest is the total number of outstanding contracts. It is calculated by taking the previous day’s open interest substracting any contracts that were exercised and adding any new contracts that were issued.

If we see a trade where the current days volume is higher than the open interest we can then infer this is a new opening position.