Well, if that 46K of volume today translates to new interest, JRI, I think it will help keep any QQQ decline in check. Of course, until CBOE updates their site, it's not clear if that 46K was purchases, sales, or what (Unless Mish knows something I don't, which is highly likely). I'd also note, though, that at QQQ 25, there are 8 times as many calls as puts, even though the raw number isn't as high as the 23 strike price. Further, i'd point out that the average cost of those QQQ 23 (and lower) puts is probably MUCH higher than current prices, and even a decline of some 60 NDX points probably doesn't put the writers underwater. That said, the buildup of puts in strikes 20-23 implies that there shouldn't be a rogue downwave here.
HOWEVER. . . anyone look at the huge amount of volume in QQQ December call from strikes 22 and above? Someone's been expecting a rally, I guess. Anyone know how long that volume's been there?
the freep |
