$SPY still has a substantial amount of NEGATIVE gamma exposure $4 BILLION @ 765 + $1.3B @ 764 x.com/CheddarFlow/status/20919…
· 47K Views
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$SPY still has a substantial amount of NEGATIVE gamma exposure $4 BILLION @ 765 + $1.3B @ 764 x.com/CheddarFlow/status/20919…
· 47K Views
@CheddarFlow That 765/764 shelf turns $SPY into a magnet strike. Dealers holding that inventory stay short gamma until spot clears, then forced covering kicks in fast.
@CheddarFlow This is my approach. ⬇️ chatgpt.com/share/6a8c49c1-d89…
@CheddarFlow Great stuff. When I’m looking for names worth studying, your account and @nickdannunzio’s are usually where I start.
@CheddarFlow Does that act as a magnet towards that strike price?
@CheddarFlow That gamma wall is no joke. Shorts are loaded up for downside protection.
@CheddarFlow Yeah what happens if we get above it is it just rip city or what??
@CheddarFlow This negative gamma structure on the $SPY side (concentration at the $765 and $764 levels) provides a breeding ground that could increase volatility by triggering hedging mechanisms against spot price movements by market makers.
@CheddarFlow $SPY tarafındaki bu negatif gamma yapısı ($765 ve $764 seviyelerindeki yoğunlaşma), piyasa yapıcıların (market makers) spot fiyat hareketlerine karşı hedge mekanizmalarını tetikleyerek volatiliteyi artırabilecek bir zemin sunuyor.
@CheddarFlow This is my approach. ⬇️ chatgpt.com/share/6a8c49c1-d89…
@CheddarFlow Useful map. The overlap worth checking is whether those strikes sit inside an area price already spent time in - positioning at a busy price behaves differently from positioning at an empty one.