Check the option pain for qqqq and spy. looks like more downward pressure though. option pain for qqqq is 44. Thats were option writers will make the most money
You need the “current pain” as the option pain takes into account every option traded since that contract was created. The current pain only takes into account the last 30 days… which is more accurate.
Remember, many of those positions have traded hands so many times that the market makers aren't going to lose any money on them. Only the recent one's that they have sold are of any concern to them.
They don't want to pay out on any of those positions, so they will try to pin the stock where they can payout the least amount. Of course you already know that, but you may not have known that the only thing that counts is the options sold in the last 30 days or so.
That's where the current pain is more accurate at predicting the final price. But, it doesn't work too well with ETF's, as they are harder to manipulate. It does stocks pretty well, as long as there aren't any earnings announcements during that last week. If so, then it can be way off.
Anna has a subscription to it, and she said it's not that accurate… especially etf's. (She's over at Hot Option Babe, in case you want to ask her. The link is on my blog roll).
I seen that too. Google will be hit hard tomorrow… that's for sure. But, I think the market will go sideways to slightly up for the next 3 days… until OPX is over, then down some more. (That's on my latest post).
Check the option pain for qqqq and spy. looks like more downward pressure though. option pain for qqqq is 44. Thats were option writers will make the most money
You need the “current pain” as the option pain takes into account every option traded since that contract was created. The current pain only takes into account the last 30 days… which is more accurate.
Remember, many of those positions have traded hands so many times that the market makers aren't going to lose any money on them. Only the recent one's that they have sold are of any concern to them.
They don't want to pay out on any of those positions, so they will try to pin the stock where they can payout the least amount. Of course you already know that, but you may not have known that the only thing that counts is the options sold in the last 30 days or so.
That's where the current pain is more accurate at predicting the final price. But, it doesn't work too well with ETF's, as they are harder to manipulate. It does stocks pretty well, as long as there aren't any earnings announcements during that last week. If so, then it can be way off.
Anna has a subscription to it, and she said it's not that accurate… especially etf's. (She's over at Hot Option Babe, in case you want to ask her. The link is on my blog roll).
http://www.optionpain.com/OptionPain/Option-Pai…
TYPE IN QQQQ AND SPY THERE IS STILL DOWNWARD PRESSURE IMO
Remember this post Joe, as I think we'll see our 97 point in early February.
I seen that too. Google will be hit hard tomorrow… that's for sure. But, I think the market will go sideways to slightly up for the next 3 days… until OPX is over, then down some more. (That's on my latest post).
Thanks for dropping by…
Red
More pressure on equities tomorrow
http://online.wsj.com/article/SB126333757451026…
Nice red, interesting…
Take care
Joe
I think it will be next month… but it's coming, that's for sure!
Hi REd
100 pts in 6 days from Jan 22 to Feb 2 has been my outlook for a while now.
Jay
Who's plumb loco? Me or you… or both? LOL!