roguetrader @hftquant19

@AndrewHiesinger Such horseshit fake bs. That is likely mostly hedges to cover the next wave down into OPEX tomorrow. Not sincere buying.🩸 misinformation is never a good thing. 🩸

📐 What’s a Gamma Squeeze 🍋 , in Theory? 🤔 A gamma squeeze usually happens when: 1. Market makers or dealers are short call options. ✅ 2. As the stock price rises :rocket: , they have to buy shares to hedge their delta exposure. ✅ 3. The higher the price goes, the more shares they need to buy → leading to a feedback loop → fast upward momentum. ✅ 🔥 Here is what Many Keep Asking me: Can a Gamma Squeeze Drive Price Down? 🩸 Short answer is Yes 👍 — mechanics can work in reverse if dealers are short puts (or long calls, depending on the structure). Here's how: “This is a Theoretical Downside Gamma Squeeze 🍋 🩸 Scenario: Dealers are short 🩸: put options (sold puts to investors who want protection). •As the stock drops toward the strike, their delta becomes increasingly negative. •To stay delta-neutral, they must sell shares/short the underlying. •The lower it goes, the more they sell → creating a negative feedback loop ⭕️. This can accelerate downward pressure 🎢 , especially in illiquid or volatile environments. 📐 $SPX $SPY $ES $NQ $VIX $DIA 📐

📐 I think it is very relevant to tie into the concept of target volatility triggers, and how that relates to this correlation drop. Particularly given that the market is moving primarily off of the mega cap names. 💡 Many MMS/dealers use them as potential rule based levels that look to protect against tail risk (i.e. potential market crash). 💥 They are also utilized to adjust equity exposure to target volatility levels that market believes can either induce/reduce overall systematic risk. Basically, this means algos/systems can use daily market vol profiling to predict their portfolio’s volatility against specific “danger levels” of volatility. Their primary goal then is to remain below this risk target vol level, by keeping predicted vol in line with this target vol (“danger zone”). 💡 One popular way to formulate a target volatility strategy is to reduce equity exposure in a portfolio through either purchase/sale of $SPY shares, or $ES futures. Another alternative is to use baskets 🧺 of global markets that can represent a benchmark such as the $SPX. Examples include Dow Jones, Euro Stoxx, FTSE, Nikkei, Hang Seng, etc. Generally, many think of it as the last major support line before a big Put Wall on an option chain. ⚡️ Such as that for $SPY. Idea is that below the vol trigger, realized vol (expected % range over a time period based on historical data with 68.3% confidence) is expected to get larger. Lets put this all into context. 🔑 The underlying logic is that if $ES remains above this vol trigger line, then the experienced upcoming volatility is expected to be suppressed. ✨In other words, these vol triggers can serve as powerful support/resistance lines for price. On the contrary, if price falls below this vol trigger line, the idea is that overall realized (and potentially implied) vol will move higher; which will then as a result put a damper on $SPX and $ES moving up. 📐 $SPY $VIX $QQQ $NQ $DIA ♠️

@Mr_Derivatives Tom Lee is a fu kin perma bull clown 🤡 always and forever. 📐

@CheddarFlow $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@TheBronxViking @unusual_whales $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@Team2Trading $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@Basssem666 $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@kiantrades $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@TheBronxViking @unusual_whales $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@DoubleWideCap $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@kiantrades $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@AndrewHiesinger $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@1769_alex $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@StockOptionCole $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@TriggerTrades $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@ManzTrades $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@Jake__Wujastyk $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@snorlax_uw $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX

@ThierryBorgeat $SPX being capped right at my 2 sigma reversion line into close. (red line). Had that major bar up late last week, followed by big red bar right after. This hourly reversion line is in heavy focus for me now into tomorrow. 📐 $SPX $SPY $ES $NQ $QQQ $VIX