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Strategies & Market Trends : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (79538)	8/21/2003 7:31:37 PM
From: At_The_Ask	Read Replies (1) \| Respond to of 209892

cmon Mish. The crowd loses. We all know that. Thats what sentiment is all about. When you guys see options stacked very heavily one way or another it means that a majority of the participants in that market have already bought\sold and when there is no more dollars to sustain the price it reverses. The actual dollar value of the options doesn't have anything to do with it. Proffesional Option sellers sell probably 90% of all options. They make money on the spread and the postiion is hedged to delta neutral as soon as the transaction takes place. There is no "invisible hand" thats large enough to control the markets in the way that you imagine. I'm sorry dude but you don't get big enough to move the markets by making directional plays selling options. The big money in this business earns the spread. As soon as a group tries to corner the market on something another group in the market will get wise and take them out of the game. By having to move the market such a player would place themselves at risk on a regular basis which is not how you get rich. I think that you are seeing what you want to see and not what is. The correlation in that chart is plain. I'm really not trying to bust your balls it's just my .02