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@OptionsDelta：$NVIDIA Corp(NVDA)$ Weekly 905 Strike Puts No Longer Pose Threat to Market Makers, All Positions Closed Out. Major New Openings This Week Were 900-875 Put Spreads, Direction Unclear but Likely Range-Bound Between Those Strikes. Additionally, There Was a Large Sell Order on $NVDA 20240426 950.0 CALL$ . Interestingly, AMD Also Had a Large Sell Order on $AMD 20240426 185.0 CALL$ With the Same Expiry Date, Suggesting Underlying Chip Stocks May Struggle Over the Upcoming Tomb Sweeping Holiday, With NVDA Likely More Resilient Than AMD. The NVDA Call Was Deep Out-of-the-Money While AMD Was At-the-Money When Traded. Selling At-the-Money Calls Is Quite Bearish, More So Than Put Options, As Calls Are More Resilient to Downside. Traders Would Typically Sell Calls When Anticipating a Decline But Unsure of Put Profits. Though It Doesn't Necessarily Imply a Crash, Previous Large Sell Call Orders Did Precede TSLA's Selloff Previously. These Orders Could Also Represent Covered Call Selling by Institutional Holders, Though Selling At-the-Money Calls Against a Long Position Is Suboptimal. Trading Is About Managing Greed, Hatred and Ignorance - Sideways Action With Modest Stock Gains/Option Losses Can Feel Like a Reminder of Mistakes, Fueling Doubt. Trader Psychology Is Similar, So Sell Call Activity Sometimes Signals Bearishness More Than Put Buying. However, I Don't Expect a Decline Until April 26th As Markets Should Rebound With Earnings Season. Call Losses Should Be Limited By Then. $GraniteShares 2x Long NVDA Daily ETF(NVDL)$ Is More Retail, e.g. 1000 Lots of The Weekly 42 Calls Were Bought, Best Wishes To That Trader. The 950 Strike Translates To 47 On NVDL for Potential Call Sales, Though Out-of-the-Money Puts May Be Preferable Over The Holiday Period. $Reddit(RDDT)$ Interestingly, RDDT has Seen Buyers Of The May 90 Calls. $GraniteShares 2x Long COIN Daily ETF(CONL)$ , Like The Leveraged NVDL, Offers Options But Only Monthlies. Worth Noting The High 18.5% Short Borrow Rate Likely Due To Limited Lendable Shares. Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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