The Top Bets are considered the cream of the crop when it comes to option sweeps.
Let's do a quick refresh and look at why sweeps are important in the first place.
Sweep Orders Are:
Aggressive orders crossing multiple exchanges, indicating urgency to get filled regardless of price.
Distinct from blocks, which are more negotiated for better pricing.
Conveying strong conviction behind the order flow.
What makes something a Top Bet?
It is important to remember that options and sweep orders can be used for many different purposes, and not all orders are created equal.
When analyzing options order flow, we often find ourselves asking the following:
Is this order a hedge?
Is this order a roll?
Does the order cover earnings?
Is it an opening position?
Is it a single sweep or part of an accumulation?
These questions, among others, are important pieces of the puzzle when assessing how "clean" an order is. When we say "clean," we are referring to how convinced and confident we can be that the order is a directional bet placed by a sharp player—someone with more resources and information than us retail traders.
The Top Bet list consists of what Wall St. Jesus believes to be the "cleanest" set of orders from that trading day. In other words, these are bets that have the highest probability of being a directional bet on the stock with conviction. These orders are, most of the time, not hedges, rolls, or earnings bets.
Questions or suggestions?
Please reach out if you have any further questions or suggestions.