Hey Traders,

Sometimes a trade is not what it seems …

We’ve seen countless examples of this in my Big Money Flow program.

So when a block of 102,000 put contracts crossed the tape on Monday, well, I knew I’d better take a closer look.

Check out this Big Money $25 million winner.

Looking For a PINS Drop?

Pinterest (Ticker: PINS) has of course been hit by tech stock headwinds in 2022 …

But the image-based social media stock’s woes go much deeper than just this year.

After a disappointing earnings report in July 2021, the shares found themselves gapping lower, and well, it hasn’t gotten much easier since.

To put it in perspective, PINS was trading as high as $89.90 in early 2021, but touched as low as $16.14 earlier this year.

That’s an 82% slide lower … yikes!

However … Perhaps there is a light at the end of the tunnel …

After delivering an earnings beat earlier this month, PINS tacked on a one-day gain of more than 20%!

Even more importantly, PINS has thus far managed to hold onto its gains, even arguably climbing slowly higher!

During Monday’s trading session, I couldn’t help but notice this Big Money trade coming through the pits.

Yes, that’s 102,000 contracts of the August 20-strike puts purchased for $0.13!

So is this a Big Money bear cashing out $1,326,000 to bet on a PINS slide lower?

Nope!

This is actually a trader who was covering a position opened in early July.

During July 5th and 6th, there was some very heavy trading volume in the August 20-strike put contract …

Notably, 

These trades were actually sold to open …

Which netted this trader a whopping $26,252,000 in premium received!

Given PINS previous post-earnings performances … that was quite a gutsy move, especially given the massive potential losses this trader opened themselves up to!

But they must have known something …

Because after buying back their contracts for $0.13 this week, they’re walking away with $24,926,000 in their pocket!

Oh, you know, a cool $25 mil … all in a days work for Big Money!

I’d also like to point out that this trader was able to hold through earnings, watch his options practically hemorrhage implied volatility (IV, red line) value, and still come out ahead!

This is definitely someone I will be keeping an eye out for the next time they enter!

Want to join me?

Your Only Option,

Mark Sebastian