Are you guys kidding? Option market is already TOAST. This is going to MURDER every underwriter on the planet.
They just banned short selling in US
- Thread starter nitro
- Start date
Nitro is right, if this is approved, we may see ES print 1300 tomorrow
the upside of approval is that they have to remove it at some point..... and that is the day of reckoning..... where all the shorts will pile right back in.
I personally think this is a short squeeze / dont mess with us bluff, just to make sure all the shorts know they are playing with fire.
If no approval tomorrow when market opens, I will sell ATM CALLS on ES
the upside of approval is that they have to remove it at some point..... and that is the day of reckoning..... where all the shorts will pile right back in.
I personally think this is a short squeeze / dont mess with us bluff, just to make sure all the shorts know they are playing with fire.
If no approval tomorrow when market opens, I will sell ATM CALLS on ES
this is the partial solution toward combatting insolvency... another is the post earlier that they will allow goodwill to be counted as reserves - come on, thats the bomb? so they levitate the bank stocks by limiting selling and relyiing on non-existant reseves. this allows then to issue more equity and get some real reserves... the banks couldnt borrow, they didnt have the capital to make loans and they were getting shorted into oblivion... Zombie Banks.
absolute desperation! they borrowed $40B or $50B yesterday & $100B today...
i wonder if the goodwill change will facilitate a WM buyout... say $20B, $1 asset value and $19.99999B goodwill?
you're still misunderstanding me. or maybe i'm doing a poor job of explaining it.
i mean if this holds (which I'm sure it won't in the long term) then all my comment was is that we can look forward to very trending markets now. kind of like, instead of up 10 handles, consolidate, then up another 10 in ES, it'd be an orderly (or perhaps violent) move upwards by 20 handles in half the time. then everyone sells for profits, and that pressure takes over to push it back down by 20 handles.
ES is only an example, as obviously futures won't have this retarded restriction.
i probably butchered that explanation too, so if i did, forgive me.
I understand what you are saying now. I don't know. However, if what you are saying is correct, I have an automated system that prints money in that environment.
I will have to think about what you are saying.
nitro
I will have to think about what you are saying.
nitro
Quote from ssblack:
you're still misunderstanding me. or maybe i'm doing a poor job of explaining it.
i mean if this holds (which I'm sure it won't in the long term) then all my comment was is that we can look forward to very trending markets now. kind of like, instead of up 10 handles, consolidate, then up another 10 in ES, it'd be an orderly (or perhaps violent) move upwards by 20 handles in half the time. then everyone sells for profits, and that pressure takes over to push it back down by 20 handles.
ES is only an example, as obviously futures won't have this retarded restriction.
i probably butchered that explanation too, so if i did, forgive me.
I wonder how they will stop short positions that are derived from short calls/long puts?
that is: there is a huge open interest in the options market - as they are assigned - traders will get short positions.
I wonder if you can buy puts and then exercise??
I wonder if you can short SSF - becoming short on expiration
I wonder if you can sell calls - becoming short if they are assigned
They may completely destroy the options market....
that is: there is a huge open interest in the options market - as they are assigned - traders will get short positions.
I wonder if you can buy puts and then exercise??
I wonder if you can short SSF - becoming short on expiration
I wonder if you can sell calls - becoming short if they are assigned
They may completely destroy the options market....
Yes, just halt trading altogether. why not! till cooler heads prevail?