Talk about premature evacuation!
Heads up Minyans--
A gorilla walked in and sold 80,000 QQQ December 34 puts. That creates 3.4 million QQQ to buy. Why? The dealer (who bought these puts) has to buy QQQ (the underlying) as a hedge. (80,000 x .42 (delta) x 100 (multiplier) = three and a half beans).
The trick here is to see how the market digests that demand. If they can't rally, it means there's some real supply floating around.
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