Does Option Prices tell current market bias?

Reading this thread reminds me of Sea World where the keeper (the OP) tosses a scrap of chum into the tank and the sharks scramble over it:

(looking at wrong prices, a dividend increase announced, index skew, put-call parity, one time dividend outstanding, takeover, conversion, completion/delisting, probability-weighted average, extremely negative interest rate, volatility surfaces, early-exercised by a dealer, implied volatility, fringe market, IV smile, Greeks involved)

All of this due to a 3 post noob providing insufficient information which may have been from "stale prices/wrong prices from yahoo or a very wide spread in either the spot and/or options. Or OP just thought I'll throw some numbers around that don't work".

Kinda amusing.
 
Reading this thread reminds me of Sea World where the keeper (the OP) tosses a scrap of chum into the tank and the sharks scramble over it:

(looking at wrong prices, a dividend increase announced, index skew, put-call parity, one time dividend outstanding, takeover, conversion, completion/delisting, probability-weighted average, extremely negative interest rate, volatility surfaces, early-exercised by a dealer, implied volatility, fringe market, IV smile, Greeks involved)

All of this due to a 3 post noob providing insufficient information which may have been from "stale prices/wrong prices from yahoo or a very wide spread in either the spot and/or options. Or OP just thought I'll throw some numbers around that don't work".

Kinda amusing.

Ha, clearly the example was ridiculous but it's still fun to dig through it
 
Reading this thread reminds me of Sea World where the keeper (the OP) tosses a scrap of chum into the tank and the sharks scramble over it:

(looking at wrong prices, a dividend increase announced, index skew, put-call parity, one time dividend outstanding, takeover, conversion, completion/delisting, probability-weighted average, extremely negative interest rate, volatility surfaces, early-exercised by a dealer, implied volatility, fringe market, IV smile, Greeks involved)

All of this due to a 3 post noob providing insufficient information which may have been from "stale prices/wrong prices from yahoo or a very wide spread in either the spot and/or options. Or OP just thought I'll throw some numbers around that don't work".

Kinda amusing.

:D

It is amusing... but I always try to be as complete as possible in my posts ;)

OP hasn't been posting since... maybe we scared him off... sharks circling the waters...
 
:D

It is amusing... but I always try to be as complete as possible in my posts ;)

OP hasn't been posting since... maybe we scared him off... sharks circling the waters...

Clearly the OP got kidnapped due to probability-weighted settlement problems at the fringe market
 
The OP has left the building, now running Steady Eddie Options, repackaging all of the expertise he gleaned here. Currently, he's running his annual "Christmas in August" sale, oblivious that it's April. The web site banner proclaims: "Steady Eddie, his prices are IN-SA-A-A-A-A-ANE!".
 
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Reading this thread reminds me of Sea World where the keeper (the OP) tosses a scrap of chum into the tank and the sharks scramble over it:

(looking at wrong prices, a dividend increase announced, index skew, put-call parity, one time dividend outstanding, takeover, conversion, completion/delisting, probability-weighted average, extremely negative interest rate, volatility surfaces, early-exercised by a dealer, implied volatility, fringe market, IV smile, Greeks involved)

All of this due to a 3 post noob providing insufficient information which may have been from "stale prices/wrong prices from yahoo or a very wide spread in either the spot and/or options. Or OP just thought I'll throw some numbers around that don't work".

Kinda amusing.
I was thinking the same thing. But in a way it's a good thing, something I often see on Quora. Someone asks what's clearly a stupid question, and will get some answers to that effect. But then you get a bunch of answers that take it to the next level and assume it is a real question, which takes more effort. For example, best question ever there was "What is it like to be stupid", probably posted by a 13 year old. Turns out there are some medical conditions that can temporarily significantly reduce one's intelligence, which then later recovers to it's previous level when the underlying condition is treated. Several people had experienced this, and posted those experiences. All very eye opening, all due to what I initially assumed was one of the dumbest questions ever.
 
Opinions wanted, say a stock is priced at $300, an at the money put is $305 and an at the money call is $310, both same time frame say 7 days. Is the market saying, at this time the bias is bullish on this stock? Or does that not hold true?



That price difference is meaningless with options.
 
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