Here's some non standard TA otherwise known as: "This isn't TA, your resistance/supports are wrong m8"
The stock is going to start running around the 17'th - 23'rd of Feb. The run may last only until the 23'rd or may continue until the 02'nd of March where the OPEX/Option Clearing cycle ends.
I've found indications of the possibility of an early run just like in November on Nov 3. The indications are based on GME swaps expiring 9 of Feb which also coincide with Ryan Cohen's standstill agreement ending.
Looking in the past, there were similar swaps expiring for Nov 12 ish. No swaps were found for the previous runs of Feb 2021, May 2021 and August 2021. This leads me to believe there's a possibility we might run around the 2'nd or 3'rd of February 2022 with a duration until the 9'th of Feb Max. After this we'll experience the regular quarterly opex run down from 14-17 of Feb and then a run up on Feb 17-23 maybe up to 04 March.
The chart i've posted here describes all scenarios i've mentioned above.
TLDR: Basically this is the bottom, so get March 04 near the money calls at around +5-15% from the current underlying spot price, or if you're a bit smooth, basically if the price of GME is anywhere between $95-$100, then get $110-$120 strike calls expiring March 04 as these are the optimal to let you reap the max benefit whether the price runs early or later around Feb 22. I don't like those Feb 25's because the theta on those is too steep. Additionally the March 04's near the money as i've mentioned are almost always slightly mis-priced / on sale by around 15-23% off their theoretical correct price as long as volatility isn't going nuts when you buy them during the day.
The trade:
I don't post on Reddit anymore because people there are crazy. There is money to be made in GME regardless of what longs and shorts want and they are in the form of the OPEX ineficiencies mentioned above & previously in my reddit posts.
The stock is going to start running around the 17'th - 23'rd of Feb. The run may last only until the 23'rd or may continue until the 02'nd of March where the OPEX/Option Clearing cycle ends.
I've found indications of the possibility of an early run just like in November on Nov 3. The indications are based on GME swaps expiring 9 of Feb which also coincide with Ryan Cohen's standstill agreement ending.
Looking in the past, there were similar swaps expiring for Nov 12 ish. No swaps were found for the previous runs of Feb 2021, May 2021 and August 2021. This leads me to believe there's a possibility we might run around the 2'nd or 3'rd of February 2022 with a duration until the 9'th of Feb Max. After this we'll experience the regular quarterly opex run down from 14-17 of Feb and then a run up on Feb 17-23 maybe up to 04 March.
The chart i've posted here describes all scenarios i've mentioned above.
TLDR: Basically this is the bottom, so get March 04 near the money calls at around +5-15% from the current underlying spot price, or if you're a bit smooth, basically if the price of GME is anywhere between $95-$100, then get $110-$120 strike calls expiring March 04 as these are the optimal to let you reap the max benefit whether the price runs early or later around Feb 22. I don't like those Feb 25's because the theta on those is too steep. Additionally the March 04's near the money as i've mentioned are almost always slightly mis-priced / on sale by around 15-23% off their theoretical correct price as long as volatility isn't going nuts when you buy them during the day.
The trade:
- If you're a regular trader, basically buy GME at the current price & set a PT of $175-$185 as a safety place. Anything more is a bonus.
If you're an ape, just buy shares, hodl, drs or whatever.
If you're a degenerate who loves options, $110-$120 March 04 calls are great.
If you're a proper degenerate who wants max profit & risk, then consider $175 Feb 04 or Feb 11 expiries for the possible initial run and or & $175 strikes expiring Feb 25.
I don't post on Reddit anymore because people there are crazy. There is money to be made in GME regardless of what longs and shorts want and they are in the form of the OPEX ineficiencies mentioned above & previously in my reddit posts.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.