To The Moon

CPI was lower than expected. November CPI forecast 7.3% vs. 7.1%, core CPI forecast 6.1% vs. 6.0%. It has a 50/50 chance of replicating November 10 and beyond, and a 50/50 chance of hitting a top and then turning lower. So I still hold the put. Powell was certainly hawkish on the FOMC on Thursday, so the market is not at the top but it is at the top.

High arbitrage is not just a method of spread.

Overall the market is still very flat, effective large single like panning for gold in the sand, but I still found two.

$Alibaba(BABA)$ : This week's frequent macro events, combined with high stock prices, may make a lot of people don't know where to start, but yesterday's big order gives a good idea: sell call

$BABA%2020221223%20105.0%20CALL$ $BABA 20221223 105.0 CALL$ 

The strike price is 105, which is also the August 26 high, and is certainly a very strong resistance level. With the expiration date set for next Friday, traders don't expect Alibaba to rise more than 18% within 10 days.

If the target stock is Pinduoduo, maybe this one-legged strategy needs hesitation, but Ali can be regarded as a safe strategy.

$Procter & Gamble(PG)$ It is a typical bearish bullish spread strategy, selling low and buying high, betting that the recent peak of PG is 155, and the strike price and date selection are much more aggressive than Ali:

• ​$PG 20230106 160.0 CALL$ ​
• ​$PG%2020230106%20155.0%20CALL$ $PG 20230106 155.0 CALL$ 

There were also a pair of bearish put spread strategies that saw PG fall below 150 and above 135 on the day:

• ​$PG%2020230120%20150.0%20PUT$ $PG 20230120 150.0 PUT$ ​
• ​$PG%2020230120%20135.0%20PUT$ $PG 20230120 135.0 PUT$