AMC, RKT and other meme stocks are ripping higher due to an options gamma squeeze. As traders buy call options, options market makers must buy stock to stay hedged. We believe this hedging flow is whats causing massive stock moves. AMC is up nearly 140% this week alone. As you can see the stock hit […]
Market Analysis
Nomura: US Stock Markets Are “Stuffed To Death On Options Gamma”
BY TYLER DURDENWEDNESDAY, MAY 26, 2021 – 11:55 AM It may not feel like it, but the market is pretty much dead: as we noted last night, Tuesday’s consolidated volume just tumbled to the lowest of 2021, while total options volume yesterday was 540,000, which was less than Christmas Eve and also the lowest volume […]
GME Getting Squeezed…Again?!?!
GME may be setting up for another options gamma squeeze as it approaches June 8th earnings. While GameStop stock is pushing higher, the cost of call options are very high, which may cap some of that gamma squeeze.
Gamma Squeezes + Crypto Crashes Double Whammy
Coinbase is down -45% since its IPO (COIN), and along with that the price of Bitcoin and other cryptocurrencies has been horrible. Bitcoin alone is down 42% – but that is actually outpaced by popular crypto related stocks like: MARA (-52%), RIOT (-57%). Its fascinating to note the COIN IPO (4/14/21) market the ~$64k Bitcoin […]
‘Gamma Tilt’ Suggests More Downside In Stocks As “Bigly” Op-Ex Looms
From ZH: BY TYLER DURDENTHURSDAY, MAY 20, 2021 – 11:15 AM Nomura’s Charlie McElligott summarized things heading into the weekend perfectly for traders: “Op-Ex tomorow matters ‘bigly’ for Equities.“ Critically, he explains, there remains likelihood of continued “chase-y” moves in both directions on dealer delta hedging due to the magnitude of the positioning out there: Latest estimates show […]
HIRO Indicator Shows Bearish TSLA Options Flow
As put flows pile in on TSLA, there could be a put driven gamma squeeze down in the stock.
SpotGamma on futures.io Debuts HIRO Indicator: Hedging Impact of Real-Time Options
SpotGamma in partnership with Bookmap just launched the HIRO Indicator: the Hedging Impact of Real-Time Options. In this video we discuss the HIRO Indicator, highlighting its many unique values. We believe this is the first system to display the hedging pressure of options trades in real time! Access to the HIRO Indicator on Bookmap is […]
Airbnb Entry Time? ABNB
Airbnb (ABNB) was crushed after some disappointing earnings. We have picked up some Dark Pool readings and options flows which may indicate a bottom is in for the stock. As you can see below the stock is well off recent highs >$200, and is currently trading near $136/share. While options are not particularly active in […]
Todays Option Vanna Rally
We’ve written about some of the major risk signals showing over the last several days/weeks, and those risks manifested in a 4-5% drawdown over the last few trading sessions. Todays bounce appears to be mainly off of the closing of short term put options trades (delta hedge unwind) along with a crush in implied volatility. […]
ARKK Gamma & What’s Really Behind The QQQrash? Nomura Gamma
From ZH: Nomura’s “futures imbalance” monitor showed enormous sell pressure all day in NQ futs across all lots sizes (the largest in at least 1m), but particularly in our medium- and large- lot buckets, proxies for large HFs and Asset Managers aggressively selling / shorting… Two things were behind the QQQcrash – ARKK’s vicious circle and CTA Deleveraging. […]
