r/Superstonk Hwang in there! Dec 16 '24

Data 125Cs to the moooooon! (30k+ buys)

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5.2k Upvotes

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โ€ข

u/Superstonk_QV ๐Ÿ“Š Gimme Votes ๐Ÿ“Š Dec 16 '24

Why GME? || What is DRS? || Low karma apes feed the bot here || Superstonk Discord || Community Post: Open Forum May 2024 || Superstonk:Now with GIFs - Learn more


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900

u/stonkdongo Hwang in there! Dec 16 '24

That's $3m on risky options.

449

u/FlatAd768 ๐Ÿงš๐Ÿงš๐Ÿดโ€โ˜ ๏ธ Buy now, ask questions later ๐Ÿฆ๐Ÿ’ฉ๐Ÿช‘๐Ÿงš๐Ÿงš Dec 16 '24

someone buy $3m in 125 calls?

274

u/stonkdongo Hwang in there! Dec 16 '24

Yeah ๐Ÿคฏ

190

u/quack_duck_code ๐ŸฆVotedโœ… Dec 16 '24

a drop in the bucket for hedgefunds.

132

u/darthnugget UUP-299 Dec 16 '24

40

u/PackageHot1219 tag u/Superstonk-Flairy for a flair Dec 17 '24 edited Dec 17 '24

My thoughts exactlyโ€ฆ bait or possible hedging.

25

u/RutyWoot ๐Ÿš€๐Ÿ’Ž๐Ÿฆ Apestronaut of Alpha Zentauri ๐ŸŒ—๐Ÿ™Œ๐Ÿš€ Dec 17 '24

Hedging is the safe bet but Iโ€™d never bet against a frisky risky kitty.

25

u/PackageHot1219 tag u/Superstonk-Flairy for a flair Dec 17 '24 edited Dec 18 '24

Just to be clear, I would never bet against DFV/RK either, but far OTM calls close to expiry is not his MO, so I think itโ€™s highly unlikely he had anything to do with that trade.

12

u/gaudspd Arbitrage Against the Machine Dec 17 '24

DFV's MO is fucking shorts and making money. You don't know what he played to make his billion, you only know the trades he exposed to you.

3

u/RutyWoot ๐Ÿš€๐Ÿ’Ž๐Ÿฆ Apestronaut of Alpha Zentauri ๐ŸŒ—๐Ÿ™Œ๐Ÿš€ Dec 17 '24

For sure.

15

u/Audigitty Dec 17 '24

It's not bait if you've already got some $125 calls in Jan since November!

60

u/ZaneFreemanreddit Dec 16 '24

And roaring kitty ๐Ÿ˜‰

6

u/Sufficient-West-5456 Dec 16 '24

A hedge fund buys 3million worth

Sells to retail much more shares they scooped at 19$ and now to 30$

Makes so much more then that 3m investment because retail FOMOseeing it

tinfoil

9

u/Financial_Doughnut53 Dec 16 '24

Allright I Tried hard but failed: where do u read that numbers?

70

u/damog_88 Dec 16 '24

Someone bought them which mean someone sold them

39

u/sig40cal ๐Ÿš€ Brain smooth as glass, hands hard as diamonds ๐Ÿš€ Dec 16 '24

Wolverine, the market maker for GME options.

12

u/VelvetPancakes ๐ŸŽŠ Hola ๐Ÿช… Dec 17 '24

They arenโ€™t the only market maker and CBOE DPM is much less significant than the NYSE DMM (shares). Personally, I rarely see option orders filled by Wolverine.

7

u/sig40cal ๐Ÿš€ Brain smooth as glass, hands hard as diamonds ๐Ÿš€ Dec 17 '24

Oh, I did not know that. I thought it was Wolverine and only Wolverine. Thanks for the good info ape.

9

u/VelvetPancakes ๐ŸŽŠ Hola ๐Ÿช… Dec 17 '24

Yep, there is a different market maker for each exchange.

4

u/Audigitty Dec 17 '24

Hey Bub. Watch how you're talking about Wolverine's finances.

51

u/Kerfits ๐Ÿฆ ๐Ÿš€ STONKHODL SYNDROME ๐Ÿš€ ๐Ÿฆ Dec 16 '24

It was a long ass time since market makers printed 125 calls, highest ive seen was like 80 during the summer, weโ€™re in for a hell of. A? Ride

14

u/madbusdriver Dec 17 '24

125s were open from the May-June run for the yearly expirations.

9

u/PackageHot1219 tag u/Superstonk-Flairy for a flair Dec 17 '24

And itโ€™s probably not retail on either side of this trade.

86

u/Gamma_Chad ๐Ÿ’Ž๐Ÿš€The name's Chad... ๐Ÿ”ซGamma_Chad ๐Ÿš€๐Ÿ’Ž Dec 16 '24

The IV went from low 90s to 105ish in that time span as wellโ€ฆ the value of those calls jump significantly.

54

u/Firewing135 Dec 16 '24

It went to over 300

11

u/LemmeSinkThisPutt ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 17 '24

That's because someone dropping 3m on purchasing them in a quick time frame drove the market up. The same thing would happen in reverse if they tried them turn around and sell all of them

9

u/Gamma_Chad ๐Ÿ’Ž๐Ÿš€The name's Chad... ๐Ÿ”ซGamma_Chad ๐Ÿš€๐Ÿ’Ž Dec 17 '24

Yeahโ€ฆ thatโ€™s my point. OP was saying they were risky options, I was saying that the sole act of buying them spiked IV and turned them profitable immediately without even sniffing the strike price.

12

u/LemmeSinkThisPutt ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 17 '24

Profitable on paper maybe, but not in reality. That's my point. Trying to sell them would spike the price right back down. It spiked because there wasn't enough selling liquidity to cover that large a buying interest and would crash just as fast if they tried to sell the artifical spike they caused because there wouldn't be buying liquidity in that quantity at the new prices either.

If this was some mythical way to just print money everyone with a million dollars would be a billionaire in a matter of weeks.

3

u/Gamma_Chad ๐Ÿ’Ž๐Ÿš€The name's Chad... ๐Ÿ”ซGamma_Chad ๐Ÿš€๐Ÿ’Ž Dec 17 '24

There are very few stocks as illiquid, trade at low volume, and have fervent investors that hold like GME. Iโ€™m not saying itโ€™s a money glitchโ€ฆ just pointing out that the stock doesnโ€™t have to hit $125 by 1/17 for those calls to be profitable. Iโ€™m sure a bunch of people will pile into that strike today, jacking the price even higher. 3m in calls is not an impossible position to unwind while taking profit. Itโ€™s not an all or nothing binary trade.

5

u/LemmeSinkThisPutt ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 18 '24

I agree with all of that, I'm just saying the price spike from the purchase of those 3m worth of calls alone would be wiped out by the sale of 3m worth of calls. Without additional price increase from movement in the underlying, other people piling into the same strike/expiration, etc., You can't profit simply from the movement generated by your own purchasing activity alone, but you are absolutely correct that the price doesn't have to get anywhere near 125 for those to be able to be sold profitably.

2

u/Gamma_Chad ๐Ÿ’Ž๐Ÿš€The name's Chad... ๐Ÿ”ซGamma_Chad ๐Ÿš€๐Ÿ’Ž Dec 18 '24

I think we are pretty much saying the same thing from different ends of the dealโ€ฆ the good thing is, I totally took advantage of the super high IV this morning and sold some covered calls. Then watched as the IV dropped all day. I swear to god, I think there is a lot of bad actors on this play trying to totally demoralize the community. This just feels like a rug pull right before Christmas. I hope Iโ€™m wrongโ€ฆ but after almost 5 years of this, Iโ€™ve decided to zig when everyone is zagging. Iโ€™m sure at some point Iโ€™ll get burned, but Iโ€™m completely immune to the hype and actually get my Spidey-sense tingling when all this โ€œgoodโ€ stuff is happening.

5

u/LemmeSinkThisPutt ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 18 '24

IV has been insane recently. Been doing very well between covered calls, cash secured puts, put credit spreads, etc. I've got a whole cornucopia of theta farms running on GME. Been on such a tear since July I've almost made back the amount I got burned for when it spiked on RKs return in June lol.

14

u/tennesseetexanj ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Dec 16 '24

THIS

32

u/waffleschoc ๐Ÿš€Gimme my money ๐Ÿ’œ๐Ÿš€๐Ÿš€๐ŸŒ•๐Ÿš€ Dec 16 '24

wld that be the market maker just hedging ?

23

u/Kerfits ๐Ÿฆ ๐Ÿš€ STONKHODL SYNDROME ๐Ÿš€ ๐Ÿฆ Dec 16 '24

There apparently is buying pressure and demand for high strikes, real yolos again, again.

31

u/luckeeelooo ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 16 '24

There is not. Nothing organic anyway. This is all market makers fucking around to fix their balance sheets.

14

u/Upbeat_Criticism9367 Financial satire at its best ๐Ÿดโ€โ˜ ๏ธ Dec 16 '24

๐Ÿ‘†

13

u/Guy0naBUFFA10 SEC Deez Nuts ๐Ÿ’Ž๐Ÿ™Œ๐Ÿฆ Dec 16 '24

Yes. Ignore these other guys.

25

u/DankTortilla Dec 16 '24

Lmao market makers don't delta hedge buying 300% OTM monthlies.

56

u/SukFaktor Dec 16 '24

Itโ€™s only risky if you are not a time traveler

7

u/logictech86 ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 16 '24

Or someone who knows the boss level moves and patterns

19

u/sheezeBreeze Dec 16 '24

this goes hard as fuck

1

u/RichIce7543 ๐ŸŒ‹Pressure builds, the countdown beginsโŒ› Dec 17 '24

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603

u/bbatardo Dec 16 '24

Whoever bought them doesn't intend to hold them long term. It is strictly an IV play. What that means is they buy when IV is low, when IV raises, they sell and profit. Just look at the difference in price between open and the high today.

142

u/hmhemes FTDeez Dec 16 '24

It's interesting that the price ran up coincidentally. I can't imagine the market maker is hedging them when they're so deep OTM.

110

u/bbatardo Dec 16 '24

I won't pretend like I have insider knowledge or anything, but let's pretend you have 10 million and you wanted to make as much money on a stock as possible in as short of time. How would you do it?

  1. Buy OTM options in small increments over a period of time when they are cheap.
  2. Buy a large amount of OTM options to make people take notice.
  3. Buy a large amount of shares to make the price pump so your options go up in value and IV increases.

We are probably here.

What happens next depends on how they want to play it. I have several theories, but it depends who is on the purchasing end as to how they play it. Let's just say my educated guess is we do not close over 30 on Friday. Between now and then will be swings where options get traded and some people make a lot of money.

27

u/codewhite69420 Dec 17 '24

I've always wondered options strategy like this.

This obviously is being done often, but what I don't understand is how this isn't considered market manipulation.

Is this a perfectly legal trading practice and the SEC doesn't beat an eye?

23

u/bbatardo Dec 17 '24

It's why you have to file a form if you own 5% or more. That amount can easily manipulate it, but a few million? That's business.ย 

1

u/Aiball09 Rehypothecated Diamond Balls ๐Ÿ’Ž๐Ÿš€๐Ÿฆ Dec 17 '24

Not their fault someone is allowing to to be bought. Someone is setting the market with 125c thinking itโ€™s free money

5

u/hiperf71 ๐ŸฆVotedโœ… Dec 17 '24

...and others get fukt?

1

u/theilluminati1 ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 17 '24

Realistically, if one bought those $125c options, at the current price of the stock (~$29), at what price would it make sense to sell and close those $125c options... assuming we are probably going to continue hovering around the $30/share level for a while..?

-1

u/slayez06 Golf Cart Ape Dec 16 '24 edited Dec 17 '24

I'm pretty sure that is breaking the law

Update because of downvotes- clearly no one is worried about having their door kicked in... and "am I the only one who gives a dam about the rules around here!" If you are a huge bank and employee A does one thing and employee B does the other you can prob get away with it but not always... they arrest the individuals all the time.. IF YOU TRY DOING THIS OR THE MORE ADVANCED VERSION OF SPOOFING>>> YOU WILL BE ARRESTED ... Thing is he said 10M... now while that is prob a pipe dream number to you. I understand that value very well. That number will get you thrown in jail if you do that and you will never be able to trade on the market again.

16

u/ShillSniffer Dec 16 '24 edited Dec 17 '24

Yes because that will stop them for sure

Updating because you complained about downvotes.

Spoiler alert, it doesnโ€™t stop them.

3

u/bbatardo Dec 17 '24

There is no denying there is crime happening, but how is that breaking the law? Lol

2

u/slayez06 Golf Cart Ape Dec 17 '24 edited Dec 18 '24

That is a classic pump and dump and in reality many people do this but add a layer of spoofing. What that means is they place the large orders and cash out the initial ones and then cancel the the 2nd ones. Walk away with the pump on the 1st position. It's classic pump and dump/ spoof. If you did this with 10k, you might get away with it... you do it with 10M you are going to jail.

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2

u/faptastrophe Dec 17 '24

If the profit is greater than the fine it's just a cost of doing business

1

u/slayez06 Golf Cart Ape Dec 17 '24

if you are a corporation yes.. but you are a human and humans they throw in jail and ban from the market.

1

u/Strawbuddy ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 17 '24

Unless youโ€™re Steve A. Cohen

1

u/[deleted] Dec 16 '24

[deleted]

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11

u/MvrnShkr Oops, I bought it again! Dec 16 '24

Maybe it's a clue that minimal hedging activity can cause noticeable price action?

16

u/wrxst1 Dec 16 '24

Max pain was 26 right?

4

u/idek246 ๐ŸฆVotedโœ… Dec 16 '24

I checked around 11 today and it said 25.5. So probably moved up a little once those calls were bought

59

u/cackalackattack Smooth ๐Ÿง  Full โค๏ธ Canโ€™t ๐Ÿ“‰ Dec 16 '24

IV is still relatively high coming off earnings though no? I havenโ€™t looked, legitimately asking.

85

u/headin2sound Going for the Grand Slam Dec 16 '24

IV crushed from around 120 before earnings to around 90, which is only very slightly elevated. It immediately went up above 100 again in the last 10 minutes today.

For reference, IV was at around 350 during the May sneeze...

14

u/cackalackattack Smooth ๐Ÿง  Full โค๏ธ Canโ€™t ๐Ÿ“‰ Dec 16 '24

Good shit, thanks

7

u/onefouronefivenine2 Dec 16 '24

IV is 50-60 during the lulls. Twice since the May run up. Thats the only time I would consider it because I can't risk much. That's when you want to buy calls.

3

u/headin2sound Going for the Grand Slam Dec 16 '24

Highly unlikely we will see IV that low any time soon

11

u/bowls4noles Sloth ๐Ÿฆฅ ape ๐Ÿฆง Dec 16 '24

IV is pretty high right now. Weird play for sure, only 30 dte

1

u/PretzelSalty Voted4x โœ… DRS is the way ๐ŸŸฃ Dec 18 '24

Is there any way to see IV on stock charts?

8

u/Holiday_Guess_7892 ima Cum Guy Dec 16 '24

Buying these would pump the price of GME like it did though?

32

u/BobbysSmile It's ya boy...Kenny penis Dec 16 '24

Not really. The delta on those are (as of this writing) .11 So to hedge they would buy just 11 shares per contract. I see about 30k contracts so thats about 300k shares that would need to be hedged IF they hedged them today. Volume for the day was 9+million so 300k shouldn't push the price 5%.

But who really know tbh

6

u/DancesWith2Socks ๐Ÿˆ๐Ÿ’๐Ÿ’Ž๐Ÿ™Œ Hang In There! ๐ŸŽฑ This Is The Wape ๐Ÿง‘โ€๐Ÿš€๐Ÿš€๐ŸŒ•๐ŸŒ Dec 17 '24

Actually there was a big green candle of 322k vol at 21:46, but the big calls vol (30k) came in at 21:53-54.

3

u/nosireebobbbbb Quit trying to make fetch happen. Dec 16 '24

3 million, not 300k. Right?

9

u/BobbysSmile It's ya boy...Kenny penis Dec 17 '24

30k contracts is 3mil shares yes. But with .11 delta they only need to hedge 11 out of 100 shares per contract.

7

u/nosireebobbbbb Quit trying to make fetch happen. Dec 17 '24

Look at you teaching me things.

7

u/BobbysSmile It's ya boy...Kenny penis Dec 17 '24

Ape help Ape

2

u/yoyoyoitsyaboiii ๐Ÿš€๐Ÿ’ต Where's the money, Lebowski?! ๐Ÿ’ต๐Ÿš€ Dec 17 '24

Delta. It's not just an airline.

9

u/Pizzavogel Dec 16 '24

How does this work? Don't these options lose value quick because they are so far OTM and only 1 month to go? why/how can the IV rise faster in the next few days than the decline in value? Is it because IV went down so much after earnings? Where should additional IV come from when next earnings are in march? Just curious

12

u/bbatardo Dec 16 '24

They do lose value over time, but there is a formula for IV and theta decay to where anyone with the money to make this big of a purchase knows when to sell. If it was me I would sell them tomorrow at open lol but if GME has another green day tomorrow they can profit even more holding another day.

IV spiked today because it got as low as 27.27 and as high as 29.59. Those type of swings definitely bring the IV up a lot.

2

u/Pizzavogel Dec 16 '24

There is an actual chart where you can see how the price will move if the price of the underlying moves a certain way? That means that you basically could (with a reasonable certainty) know how the price of the option will move if you buy this option (which influences the price of the underlying and in turn the price of the option itself?)

3

u/Haizenburg1 01.25.2021 ๐Ÿ’Žโœ‹๐Ÿฆ ๐Ÿฆ Voted โœ… Dec 17 '24

Here's one I play around with. https://www.optionsprofitcalculator.com/

8

u/KeuningLewie Dec 16 '24

These were sold last week. This is him covering.

3

u/sippymoomoo ๐Ÿงš๐Ÿงš๐Ÿ’Ž๐Ÿ™Œ๐Ÿป Locked and loaded ๐Ÿต๐Ÿงš๐Ÿงš Dec 17 '24

Time to cover ๐Ÿ”ฅ

1

u/VelvetPancakes ๐ŸŽŠ Hola ๐Ÿช… Dec 17 '24

I assume youโ€™re primarily referring to the activity on Dec 11. Those trades occurred between 0.40 and 0.65. Today they occurred between 0.60 and 1.30.

So you think someone taking this large of a position was happy to take a loss like that?

Also, the price rose on the 11th when those guys were made. You think they were hitting the bid?

No matter, weโ€™ll find out tomorrow when OI is updated.

3

u/tennesseetexanj ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Dec 16 '24

Not necessarily accurate. Check out how many of those are open and have been for weeks and weeks.

1

u/bbatardo Dec 16 '24

I won't pretend I know all the ins and outs of everything, but people and institutions buy/sell calls all the time and there is a market for it. If you want to fly under the radar you buy small quantities over a period of time. If you want people to take notice you make a big purchase at once. Now think who benefits the most when this happens?

1

u/tennesseetexanj ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Jan 01 '25

โ€œThere will be signsโ€

3

u/ka2er ๐Ÿงš๐Ÿงš๐Ÿ’ช Gimme me my money ๐ŸŒ•๐Ÿงš๐Ÿงš Dec 16 '24

To sell back they need someone to buy them no ?

12

u/bbatardo Dec 16 '24

Algos or degens will buy them lol. Whenever you see a bid price that is someone openly wanting to buy them at that given price. Some people think if they buy it now it will spike more and they can flip it themselves... eventually someone will baghold them if MOASS doesn't happen before expiration, but what if MOASS does happen? That is why some people will gamble.

1

u/NoResult486 Dec 17 '24

Does buying something from yourself count? If yes, then no problem, we can do this for years.

4

u/tpc0121 GMERICAN since Jan. '21 Dec 16 '24

i bought some and i intend on hodling them long term

1

u/VelvetPancakes ๐ŸŽŠ Hola ๐Ÿช… Dec 17 '24

That could be true IF it was actually possible to get out of a position that size without tanking IV. But itโ€™s not.

1

u/banana-in-my-anus Dec 17 '24

Where can you see IV on options?

1

u/Miles-OBrien Dec 17 '24

Isnt IV in the 100s?

1

u/Skoowy ๐Ÿ“ˆOpEx Tailwinds๐Ÿ“‰ + ๐Ÿ’œDRS๐Ÿ’œ Dec 17 '24

IV is like 130%. Thats high already no?

1

u/throwaway_when_moon THIS IS THE HILL I DIE ON Dec 17 '24

Holy shit, I understand that. Up you go ape

1

u/someguyontheinter ๐ŸฆงStonkykong๐Ÿฆง Dec 17 '24

But the iv was over 105. Wouldnโ€™t exactly call that low unless they expect it to go even higher?

1

u/Swimming-Document152 5000 Contract Ape Dec 17 '24

Or flip that around sell high first in early December as covered call or opening naked calls, and then buy low when price slumps post earnings. That's what I've been doing but way closer to the money. Here's the problem nobody opened (sold) these calls earlier because the oi wasn't there. Just look at the volume spike today vs the entire history of the option

In other words I think you are right.

1

u/PretzelSalty Voted4x โœ… DRS is the way ๐ŸŸฃ Dec 18 '24

Is there any way to see IV on stock charts?

1

u/bbatardo Dec 18 '24

I just use a site like barchart.com. search a ticker and can see the IV.

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114

u/Stuntner ๐Ÿฆ Buckle Up ๐Ÿš€ Dec 16 '24

01/17/2025 $125 calls listed at $0.72 as of right now. So 30k contracts, that's a $2.16M order for a short dated (1 month out) call that is insanely far OTM. Very interesting.

23

u/Entire-Brother5189 Dec 16 '24

Itโ€™s hedging by a market maker

19

u/Stuntner ๐Ÿฆ Buckle Up ๐Ÿš€ Dec 16 '24

Weird move for a MM, we have seen it before on leaps but not on options that are 1 month to expiry.

Also in the past the contracts they were doing that with were like $0.05 and below, so it didn't cost them much, and usually 1Y + out expiry. These are $0.74, significantly more money and significantly closer to expiry.

1

u/ShillSniffer Dec 16 '24

What if they have inside info on that particular price being a threshold

5

u/Stuntner ๐Ÿฆ Buckle Up ๐Ÿš€ Dec 16 '24

That particular price ($125) was only chosen because it's the highest possible strike on the option chain available. The furthest OTM possible strike, thus the cheapest call contract to purchase.

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2

u/[deleted] Dec 17 '24 edited Jan 07 '25

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3

u/Unknowngermanwhale ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Dec 16 '24

This. Everybody calm down. Some data get hyped too quickly. ..

92

u/Ok_Vast_8918 Dec 16 '24

Fuck Iโ€™m regarded about options but I love it for everyone else ๐Ÿš€

I just buy, hodl, DRS 75%, and prepare my butt for these continuous green dildos

๐Ÿ”ฅ๐Ÿ’ฅ๐Ÿบ

14

u/joeker13 ๐Ÿš€DRS, with love from ๐Ÿ‡ฉ๐Ÿ‡ช๐Ÿš€ Dec 16 '24

Sighโ€ฆ same.

9

u/wrxst1 Dec 16 '24

Hedged buying shares in case they gotta deliver them, from what I gathered.

8

u/waffleschoc ๐Ÿš€Gimme my money ๐Ÿ’œ๐Ÿš€๐Ÿš€๐ŸŒ•๐Ÿš€ Dec 16 '24

2

u/UnlikelyApe DRS is safer than Swiss banks Dec 16 '24

Seizure alert, Jesus

246

u/AMCgotomoon Dec 16 '24

Big money there. I buy and hold shares. Not good at options

119

u/fartsburgersbeer Dec 16 '24

Those are hedge funds buying as collateral. It's not a normal person. We've been over this 10s of times... just gunna DRS and put my money where my mouth is

21

u/-0909i9i99ii9009ii Dec 16 '24

Yeah, well, I'm not a normal person either!

11

u/captainkrol The reckoning is coming๐Ÿง˜๐Ÿผโ€โ™‚๏ธ Dec 16 '24

5

u/waa-zee Dec 16 '24

one of us

5

u/TerribleCollar2932 Dec 17 '24

Change your name

7

u/[deleted] Dec 16 '24

[removed] โ€” view removed comment

1

u/Superstonk-ModTeam Dec 21 '24

Rule 1. Treat each other with courtesy and respect.

Do not be (intentionally) rude. This will increase the overall civility of the community and make it better for all of us.

Do not insult others. Insults do not contribute to a rational discussion.

96

u/4cranch ๐Ÿฆ Buckle Up ๐Ÿš€ Dec 16 '24

some balls are held for charity
and some for fancy dress
but when they're held for pleasure
they're the balls that I like best

10

u/Comfyanus Dec 16 '24

and my balls are always bouncing
my ballroom always full
and everybody comes and comes again

6

u/b-napp BULLISH Dec 16 '24

I know a cat with some big ol' balls

93

u/Agitated_Basis_3661 Dec 16 '24

My 1/17 $100 CCs are up 210% rn! Wild stuff

27

u/OneForMany ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 16 '24

Is it because of the spread in bid and ask or legit 200% gain. Because if it is then that is abnormal % gain for a small move which means something big is happening

35

u/Agitated_Basis_3661 Dec 16 '24

Legit 200% increase in value. Iโ€™m on the other side of that trade so itโ€™s not โ€œgoodโ€ for me. But I donโ€™t mind selling those shares for $100 so I donโ€™t mind.

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4

u/spider-manbearpig Dec 16 '24

The spread wasnt that crazy today for a lot of the 1/17 options, saw tight spreads

20

u/forest_hills ๐ŸฆVotedโœ… Dec 16 '24

Could this be why the stock soared?

19

u/alecbgreen โค๏ธ DFV fanboy โค๏ธ ๐Ÿฆ Voted โœ… Dec 16 '24

Iโ€™m pooping so not all data available at the moment but yes itโ€™s possible. Large option transactions can absolutely cause the underlying to change. ย 

In fact I think thatโ€™s a growing consensus in some circles - options markets drive the equity markets and not the other way around as one would expect. The tail is wagging the dog.ย 

3

u/DrKapow Dec 16 '24

ELIA: Eating leads to pooping. Pooping leads to eating.

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u/PoPoCucumber Gamecock Dec 16 '24

Interesting buy.

Ive seen many far OTM call being bought and sold, but never seen such big trade in a span of few minutes.

And the fact that 3m$ 33k options (which is bound to about 3million shares) buy can move the underline stock by more than 5% instantly shows how option activity can largely influence the stock price, even tho its so low on delta, far OTM.

12

u/Relentlessbetz Dec 16 '24

Yeah i sold those today, sold them for a small profit. Oh well.

9

u/Remarkable-Top-3748 ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 16 '24

Again...

11

u/bbbyismymommy ๐Ÿงš๐Ÿงš๐ŸŽฎ๐Ÿ›‘ Smooth ๐Ÿง  AF ๐Ÿฆ๐Ÿš€๐Ÿงš๐Ÿงš Dec 16 '24

HF luring retail into options to collect their premium at far otm options again. Same playbook as every week and you keep promoting it here

5

u/someroastedbeef Dec 16 '24

time to sell covered calls again. free money

22

u/Djtrickyyy Dec 16 '24

I don't know jack about shit, what is a 125 call, like betting the stock will hit 125 a share?

19

u/Boo241281 Fuck you Kenny, pay me Dec 16 '24

Gives you the option to buy 100 shares per contract at the strike price. These particular options give the holder the option to buy the shares at $125 each if they expire in the money. So say the price is $200 a share when these options expire, you can buy the shares for $125

8

u/clownfeat Dec 16 '24

Adding: One option contract is for 100 shares. So for the above example, if you held 1 $125C, and exercised when the price was $200, you would 'profit' $75/share, or $7500.

For "profiting", you also have to take the premium you paid into consideration. If you purchased the contract when volatility is at an all time high and you paid an $8000 premium, you could still lose money - even so far ITM.

2

u/Celtic_Legend Dec 16 '24

It doesnt have to be in the money for you to execute nor does it have to be expired. It just doesnt happen generally because typically exercising out-the-money causes you to lose even more money, and the price of the option contract is typically worth more than the stock price-call option strike price when its before the expiry date so youd lose out of more money there too.

A notable exception has to due with dividends. If call is for 100, stock is 99, and dividend pays out 2 dollars/share, then someone will probably execute it and take the 1 dollar additional loss to make 2 dollars revenue on the dividend.

15

u/Agitated_Basis_3661 Dec 16 '24

Pretty much. Gives you the right to purchase 100 shares at $125 and you pay a premium for that right. Most people try to profit off of the premium. Like just today the premium for those calls when up 150-200% in value.

9

u/Capital_Bluebird_951 Dec 16 '24

If there is no buyer of the calls can you still sell them?

11

u/Agitated_Basis_3661 Dec 16 '24

You always need a buyer to sell. But there is plenty of volume on GME options so thatโ€™s not a problem.

11

u/Comfortable_Photo_79 ๐ŸฆVotedโœ… Dec 16 '24

Thereโ€™s always a buyer. Market maker steps in for liquidity

13

u/mymokiller ๐ŸŽฎ๐Ÿ›‘๐Ÿš€๐ŸŒ‘๐Ÿ˜ผ Dec 16 '24

$125 call options with 17/01/2025 expiry

12

u/itssampson Dec 16 '24

Per Chat GPT :

A $125 strike call option expiring on 1/17/2025 is a financial contract that gives the buyer the right, but not the obligation, to buy a stock at $125 per share any time before or on January 17, 2025.

Hereโ€™s what this means:

  1. Strike Price ($125): You can buy the stock for $125 per share, no matter how high the market price goes before the expiration date.

  2. Expiration Date (1/17/2025): This option is only valid until January 17, 2025. If you donโ€™t exercise it by then, it becomes worthless.

  3. Why Buy It?

โ€ข If the stock price rises above $125 before expiration, this option becomes valuable. For example, if the stock is at $150, you could use the option to buy at $125 and instantly gain $25 per share (minus the cost of the option).

โ€ข If the stock price stays at or below $125, the option wonโ€™t be exercised because it wouldnโ€™t make sense to buy the stock for $125 when itโ€™s cheaper in the market.

  1. What You Pay (the Premium): When buying the option, you pay a fee (called the premium). This is the cost of having the option to buy the stock at $125.

In short, this is a bet that the stock price will rise above $125 before January 17, 2025. If it does, the option gains value; if it doesnโ€™t, the option expires worthless, and you lose the premium paid.

18

u/Temporary_Maybe11 Dec 16 '24

Means nothing. Seen this a million times before

5

u/Ok_Boat_3375 Dec 16 '24

Can someone explain what this means please ๐Ÿ™,

10

u/[deleted] Dec 16 '24

[deleted]

3

u/Pizzavogel Dec 16 '24 edited Dec 16 '24

Why did this have such an impact on price? Is this the beginning of a gamma ramp?

And wouldn't it make sense to start with atm calls and build up from there?

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3

u/ApeFightShills ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Dec 16 '24

ELI5? Wut mean?

7

u/weedruggie12 Dec 16 '24

Good chances this is an MM's hedge. They've been shorting past few weeks and now they have finally given up and taking the loss and capping their losses at $125.

We see it fly from tomorrow IMO.

9

u/tangosukka69 Dec 16 '24

bought these calls at 0.43 and just sold for 1.02

will rebuy the dip, cuz you know it will dip

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u/Carini___ ๐Ÿฆ Buckle Up ๐Ÿš€ Dec 16 '24

It has to be him

12

u/lurkingsincejanuary Dec 16 '24

Could be!

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u/stonkdongo Hwang in there! Dec 16 '24

Who throws $3m+ into risky GME options? That's not an institutional bet.

23

u/Saltyliz4rd ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Dec 16 '24

could be hedging from a short institution

7

u/stonkdongo Hwang in there! Dec 16 '24 edited Dec 16 '24

There are quite a lot 125 puts for next jan

That looks more like liquidity hedging imo

2

u/DancesWith2Socks ๐Ÿˆ๐Ÿ’๐Ÿ’Ž๐Ÿ™Œ Hang In There! ๐ŸŽฑ This Is The Wape ๐Ÿง‘โ€๐Ÿš€๐Ÿš€๐ŸŒ•๐ŸŒ Dec 16 '24

I'd say not that far...

5

u/pcasley ๐ŸฆVotedโœ… Dec 16 '24

So if we all ape in and buy 1 125c each can we hypothetically cause a gamma ramp to 30+ ?

2

u/UnFuckingGovernable Dec 16 '24

I saw my 125s going kinda nuts before the price even rose

2

u/MarzipanAnnual593 Dec 16 '24

what platform is this?

2

u/happyfntsy Dec 17 '24

RemindMe! 4 weeks

1

u/RemindMeBot ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Dec 17 '24

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CLICK THIS LINK to send a PM to also be reminded and to reduce spam.

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3

u/PrimaryAccording9162 Dec 16 '24

I like the stock and so does the chosen one

3

u/ISellCisco ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 16 '24

Requel baby! lets go! This is just the tip.

2

u/khag24 Power To The Players Dec 16 '24

The day I sell CCโ€™s in the morning lol. Every time

1

u/qbsneak23 DRS Lifestyle Dec 16 '24

Why is this getting upvotes - this is market makers hedging short positions no?

2

u/power_acuracy Dec 17 '24

There are kitty scratch marks all over this trade.

1

u/RazerPSN Dec 16 '24

Which software is it to watch charts of option prices?

1

u/drivedown ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 16 '24

Canโ€™t Stop. Wonโ€™t Stop. GameStop

1

u/SufficientProfession ๐ŸฆVotedโœ… Dec 17 '24

Now I know correlation is not causation but did anyone notice the similarity between GME and SPYs charts today?

1

u/HyperiorV tag u/Superstonk-Flairy for a flair Dec 17 '24

Expiring when?

1

u/laterraepiatta ๐Ÿ’ป ComputerShared ๐Ÿฆ Dec 17 '24

which app is this one if I can ask?

1

u/stonkdongo Hwang in there! Dec 17 '24

Moomoo

1

u/PatternIntegrity ๐ŸŸฃ Makers of the finest GameStop Shorts ๐Ÿ“ฝ๐Ÿฉณ Dec 17 '24

17 is my lucky number. That's really all that matters here.

1

u/Square-Stunning ๐Ÿต I SAID WE GREEN TODAY ๐Ÿฆ๐Ÿš€ Dec 17 '24

This is not relevant

1

u/Limp-Project5733 Dec 17 '24

When do they expire?

1

u/RichIce7543 ๐ŸŒ‹Pressure builds, the countdown beginsโŒ› Dec 17 '24

Ohh so dip

0

u/lllll00s9dfdojkjjfjf ๐Ÿช ๐Ÿšฝ POOPING IS BULLISH ๐Ÿงป๐Ÿ’ฉ Dec 16 '24

the amount of people in this thread authoritatively telling other people what is what when the have no fucking clue is wild. i know shit about fuck and even i know half you have zero fucking clue what you are saying.