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Fed Cut on Expiration Day


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#1 skyymaster

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Posted 17 August 2007 - 08:09 AM

Someone must have had but load of calls on the wrong side and fed just bailed them out. :P
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#2 OEXCHAOS

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Posted 17 August 2007 - 08:26 AM

Actually, I suspect somebody was short a bunch of OTM puts that were stubbornly ITM! The problem, eet eez sol-ved! Amazing stuff. Looks a lot more shady than I'd like, too. Why at 8:20 and not 9:45? M

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#3 skyymaster

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Posted 17 August 2007 - 08:46 AM

Actually, I suspect somebody was short a bunch of OTM puts that were stubbornly ITM!

The problem, eet eez sol-ved!

Amazing stuff. Looks a lot more shady than I'd like, too. Why at 8:20 and not 9:45?

M



Guess, we have not learned to think like the criminals :lol:
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#4 SemiBizz

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Posted 17 August 2007 - 08:49 AM

Chopper Ben to the rescue to the parties that least need it AGAIN.... Jackass !!
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#5 TradeMark

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Posted 17 August 2007 - 09:15 AM

It means Fed has declared open season on Bears. Curious timing....wonder if this helped any of da boyz get paid today? Naw, just a coincidence. TM

#6 hamakua

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Posted 17 August 2007 - 10:58 AM

IMHO.........

NOBODY (big boys bullish futures, too many hedge funds shorts puts, housing crisis, loan broker books in horendous shape, etc) was ready for a further CRASH and the FED had to do something. The only people loaded for a CRASH were the small traders (according to ISE put/call data), consequently, the FED had to step in. Furthermore IMHO, this will be temporary FIX perhaps until the longer term interest rate cycle plays out into November, afterwhich, the small players will be bullish and big players will be 'setup' for very big bear market.


This is all well documented in T laundrys work which has had the BIG PICTURE quite right for a long long time....he does not have a good grip on the smaller swings, but his big pic has been incredible.

http://ttheory.typep...rys_t_theory_o/

Edited by hamakua, 17 August 2007 - 11:00 AM.