Unless we get a black Monday, I'm not even gonna bother covering. Why bother, we are just gonna lose 20-40 NAZ points a day. I have been shorting since QQQ35 (thanks Mish for your max pain analysis), more shorts every half point down. Wrote some QQQ32 puts when it was near 32, pocketting $1 premium, so I effectively covered some of my shorts at 31; obviously too early. So when it bounced back to near 32, I shorted more to account for the puts that I wrote, more shorts again every half point down. I will most certainly continue this exercise until we get a massive down draft, like a Black Monday. I think the MM's are delta-hedging this month big times. No Black Monday means more aggregate down next week.
Thanks brightness
I got a PM from someone today bashing may max pain analysis and when I asked why, got a PM saying it was not worthy of a response since I ony trade hundreds of shares (as opposed to thousands I suppose). At any rate, glad to see someone appreciates the effort.
But franking I am tired of the bickering, the critical PMs I get, reading thru 500 posts, etc, etc. I believe I made my point (others do not see it), and I also stated the reasons why I expected that max pain COULD (not necessarily will) fail this month, so far on target.
CSCO good news could cause a huge snapback rally easily.
Congrats to all those able to trade thousands of shares when I can not.
M |
