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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (36571)	3/4/2002 12:04:48 AM
From: The Freep	Respond to of 99280

<<but again I can think of no reason why it would matter.>> You may very well be right. I've seen how your max pain calculations have proven pretty darn accurate, so I don't want to muddle. However, as to why it would matter. . . well, if the real definition of "max pain" is how it would cause the most pain (read: dollar loss) then knowing the total dollars spent at each strike price should be important. I guess there's no way of knowing which day an option is bought/sold, but if one tracked daily open interest, I guess one could get a better idea of the average cost at each strike price. But since I don't know how to calculate a price-weighted max pain, it's just random musing, I guess. just late Sunday musings. . . the freep