Nicu
9:35 am on September 3, 2010 624 days agoReply
it look like a nice battle around $255
RattyUK
10:30 am on September 3, 2010 624 days agoReply
$260 would be very nice yes.
sworoc
11:07 am on September 3, 2010 624 days agoReply
Looks like 255 today. Bummer.
carlmuck
12:02 pm on September 3, 2010 624 days agoReply
$255 isn’t an option strike in AAPL… the pinning theory is that it is the strike with the most open interest. Which today is $250 in the weeklies, (~13K calls, ~9K puts) and both the $250 and $260 montly strikes (9/18 expiry) have ~40K open interest (~40K for $250 and ~43K $260).
So supposedly pressure is on to get price close to $250. However with a total volume of ~15M shares, the 220,000 shares represented by the options can’t exert much influence in a day when the sentiment is positive and new $ are flowing into the stock.
caruso2323
1:04 pm on September 3, 2010 624 days agoReply
It is quite likely that the downgap recorded on Aug-11-2010 257.55 to 255.69 may get filled… The last 15 cents (today’s max so far has been this morning 257.40) …
The only thing though : The volume is not convincing … I suspect this is a “short squeeze” rally, combined with daily traders who will probably book their profits especially before this long week-end… In case of a pull-back I suspect the 50 day moving average @254.80 should act as support by the end of the day.
caruso2323
1:05 pm on September 3, 2010 624 days agoReply
Ooops I was not looking at the trading … The down-gap just got filled as I was typing my previous post
carlmuck
1:45 pm on September 3, 2010 624 days agoReply
@caruso2323
Happily, it looks like 260 is being an attractor now!
conshmillo
1:56 pm on September 3, 2010 624 days agoReply
Technically we have still strong northern winds. Employment report gave extra jolt today in that direction so they’ll probably go with 260 this week (if they can). Any round number of 10 is better for them than anything between as they are writing both calls and puts. Weekly expiration closest to that 10 rounder allows them to make most money as both calls and puts closest to those 10 rounders expire worthless.
Nicu 9:35 am on September 3, 2010 624 days ago Reply
it look like a nice battle around $255
RattyUK 10:30 am on September 3, 2010 624 days ago Reply
$260 would be very nice yes.
sworoc 11:07 am on September 3, 2010 624 days ago Reply
Looks like 255 today. Bummer.
carlmuck 12:02 pm on September 3, 2010 624 days ago Reply
$255 isn’t an option strike in AAPL… the pinning theory is that it is the strike with the most open interest. Which today is $250 in the weeklies, (~13K calls, ~9K puts) and both the $250 and $260 montly strikes (9/18 expiry) have ~40K open interest (~40K for $250 and ~43K $260).
So supposedly pressure is on to get price close to $250. However with a total volume of ~15M shares, the 220,000 shares represented by the options can’t exert much influence in a day when the sentiment is positive and new $ are flowing into the stock.
caruso2323 1:04 pm on September 3, 2010 624 days ago Reply
It is quite likely that the downgap recorded on Aug-11-2010 257.55 to 255.69 may get filled… The last 15 cents (today’s max so far has been this morning 257.40) …
The only thing though : The volume is not convincing … I suspect this is a “short squeeze” rally, combined with daily traders who will probably book their profits especially before this long week-end… In case of a pull-back I suspect the 50 day moving average @254.80 should act as support by the end of the day.
caruso2323 1:05 pm on September 3, 2010 624 days ago Reply
Ooops I was not looking at the trading … The down-gap just got filled as I was typing my previous post
carlmuck 1:45 pm on September 3, 2010 624 days ago Reply
@caruso2323
Happily, it looks like 260 is being an attractor now!
conshmillo 1:56 pm on September 3, 2010 624 days ago Reply
Technically we have still strong northern winds. Employment report gave extra jolt today in that direction so they’ll probably go with 260 this week (if they can). Any round number of 10 is better for them than anything between as they are writing both calls and puts. Weekly expiration closest to that 10 rounder allows them to make most money as both calls and puts closest to those 10 rounders expire worthless.