Sun 26 Aug 2007
Oh My God, Look At This…
Posted by RichSlick under Financial Safety
[2] Comments
This is so strange. Billions being bet on market falling in September! Check out the image! And check out this.
It’s PANDEMONIUM!
If the market tanks, don’t say no one knew anything because I’ve never seen this kind of volume on such deep in the money calls. It’s PANDEMONIUM! As a reminder, I’m 100% cash right now.
August 27th, 2007 at 1:39 pm
Yes, but was the prodigious mover buying or selling? From your description, I take it you’re assuming that someone just sold a ton of options on the bet that it’s going to fall and they’ll buy to close at a much lower price.
August 27th, 2007 at 7:37 pm
There are a few possibilities but the one that intrigues me the most is one in which someone out there is prepared to scoop up 132,000 contracts at an average price of $77 which is about $1 billion worth of calls so deep in the money. The best way to profit is to sell now and buy back later OR buy the calls low and hope for an immediate jump back up courtesy of the PPT. Not sure what the actual bids are on these calls.