Here we show how EquityHub plots out gamma curves, which could be used to find areas of support or resistance during extreme volatility. In this case WMT declined 10% after earnings – a price move which brought the stock to a “zero gamma” zone. This indicated that options market maker hedging may tail sharply off, […]
Market Analysis
Trade Analysis: NVDA (July 20, 2022)
The following is a guest post from Doug Pless. When I plan to trade stocks for the day, I begin my morning preparation by opening my watchlist in Equity Hub. I look at the Key Gamma Strike, Hedge Wall, Key Delta Strike, and other metrics for each stock and compare the values with the previous […]
Gamma Levels Can Reveal Huge Forces Driving The Nasdaq
The following is a guest post courtesy of Michael Kramer of Mott Capital Management. The equity markets have had sharp drawdowns and extremely high volatility in 2022. While this dynamic has created a difficult backdrop for traders, the options market is playing a big role during these tricky times and SpotGamma indicators may provide an […]
Are Stocks Set for Another 40% Decline?
Join us for a fascinating conversation with Kirk Chisholm, Wealth Manager and Principal of the Innovative Advisory Group. Kirk’s view is that the market is still quite overvalued, and has been holding a large cash position for his clients as a result.
Implied Volatility & Equity Direction: The Vanna Trade
Brent, Founder of SpotGamma, discusses how changes in implied volatility can lead to changes in stock direction. Implied volatility changes impact the hedge ratio, or delta, of an option. Traders can measure this impact with an option greek known as “vanna”.
The Setup for a Gamma Squeeze in GME
Here we identify the options setup needed for a gamma squeeze in a stock like GME. Using our EquityHub we analyze the existing options position, and then look for signs of strong live options orderflow via our HIRO application. Specifically, you want to see large open interest at call strikes just above where a stock […]
A New View: Kevin Muir of The MacroTourist + Market Huddle
Brent, Founder of SpotGamma, was joined by Kevin Muir of the MacroTourist to discuss changing macro trends including: hot CPI reaction, why a recession is guaranteed and when to short the dollar.
The Oversold Stock Market Could See a Bounce
The following is a guest post courtesy of Michael Kramer of Mott Capital Management. The S&P 500 has fallen by more than 10% in the past two weeks, and to say that it is due for a bounce may be an understatement. The combination of a 75 bps Fed rate hike and massive June quarterly options expiration resulted […]
Trade Analysis: TSLA (June 17, 2022)
The following is a guest post from Doug Pless. When I plan to trade stocks for the day, I begin my morning preparation by opening my watchlist in Equity Hub. I look at the Key Gamma Strike, Hedge Wall, Key Delta Strike, and other metrics for each stock and compare the values with the previous […]
Watch: June OPEX Same Size as March 2020?
Brent, Founder of SpotGamma, discusses how the large June ’22 options expiration is in similar size to that of March ’20. Based on this, we think the market may stage a brief rally. Start a FREE 7 day trial of SpotGamma now to get daily insights just like this.