Short term rally starts today.

[krishiyer]

Volente
maximum pain analysis shows a level of 127(for SPY) for August option.
any comment how will they close SET for friday?
Also IWM (russel) max pain shows 70(approximate 700 on the russel) any comments?

 

[volente_00]

1280, but the bulls are pretty giddy.

 

[krishiyer]

Volente
your obeservation about bulls is right.
Could only profit (scrap) .10 on SPY 129 Aug Puts & IWM Aug 70 puts.
But based on max pain theory
traded
QCOM (max pain=35) Aug 37.5 Puts
AAPL (max pain=2.55) Aug 67.5 puts
and scalped 0.10/.15

SET might close SPY at 129.5 & IWM @70.
big reversal on Friday? I doubt .will fizzle out in a short range.

 

[volente_00]

If it holds tomorrow, then monday we will see some selling.
Those gaps under us will get filled over time.

 

[volente_00]

Quote from thorn:


Great trade from page 1 of this thread.

Don't try to kiss my ass now thornybird.

 

[apex82]

I find the max pain on the indices is usually not as accurate as the equities. I usually do about 20-30 of the big stocks and get my bias for friday from there. Anyone else have any other quirks when determining max pain?

 

[frank grimes]

my sphichnter is still most hospitable to selling...max pain will not occor

 

[volente_00]

The original call will turn out to be the bottom for the year. Time to back fill those gaps, downside to 1270-1280 before a year end rally to 1335-1340.

 

[William Rennick]

Quote from volente_00:

The original call will turn out to be the bottom for the year. Time to back fill those gaps, downside to 1270-1280 before a year end rally to 1335-1340.

Good luck on your call that you have placed ....FOR EVERYONE TO POOP ON!!!!


Rennick the comic insult Trader

 

[S2007S]

agree with volente, we have to fill the gap. I think the S&P could easily drop before moving higher. Looks tired and overbought.