Guerilla Stock Trading has detected dark pool trades in Opendoor $OPEN stock. The dark pool trades appear to be sell orders because $OPEN stock dropped after the dark pool prints were made public.
Dark Pool Trades In Opendoor Technologies $OPEN stock
Opendoor $OPEN stock has fallen since the dark pool trades were posted in early August 2022. We can see a possible narrative emerge that the housing market is in a crash, so this company will be severely impacted and may even go out of business.
Opendoor Technologies $OPEN provides a digital platform for residential real estate. The company develops a service model for real estate buying and selling on a mobile device.
Make sure to review this lesson on dark pool trading so that you understand the chart above.
The problem with the bearish narrative above is that the options market does not confirm that institutional investors are dumping $OPEN stock over dark pools.
Neutral Option Flow In Opendoor Technologies $OPEN
We expect to see institutional investors front running the dark pool sell orders by buying puts in $OPEN stock. We don’t see that. Instead, we have an even split between option bets on both the bullish and bearish sides of the trade.
Make sure to review this lesson on option flow so that you understand the image above.
Opendoor Technologies $OPEN stock price target lowered to $9 from $15 at BTIG
On August 5, 2022, BTIG analyst Jake Fuller lowered the firm’s price target on Opendoor Technologies to $9 from $15 after its Q2 earnings loss but kept a Buy rating on the shares. The company’s performance during the strong pandemic housing market will not matter as much, with the outlook for Q3 looking dire. Opendoor’s margin outlook will be an issue, even though longer term, the company’s iBuyer penetration could ramp rapidly over the next several years, given a compelling value proposition to home sellers.
📺 Its OVER… | Why Opendoor Will Close
📉 Opendoor Technologies $OPEN Chart Technical Analysis
Opendoor Technologies $OPEN stock is in a technical downtrend. Long-term indicators support a continuation of the downtrend. However, short-term indicators suggest the stock is in highly oversold territory, leaving the possibility of a bounce open.
