Good Morning!

How about those NOK contracts from yesterday’s email? I always tell people to follow the flow. It usually leads to good outcomes!

Also, SPY was dominated by the $710 gamma zone yesterday. Look how close it stuck to that area for the entirety of the day.

However, our analysis was to buy the dip on $710 yesterday, which played out pretty well early in the day. From there, we never significantly bounced or lost 710 for the rest of the day.

Whale Watching is our recurring segment where we highlight the most unusual or impactful option buys that we found from yesterday. We scan the market from open to close daily to monitor real time options flow. When alerts are triggered that meet our criteria those trades end up on this page.

Let’s take a look at yesterday’s unusual flow:

INTC continues to pump and yesterday the urgent repeater alert was triggered. This is when you see sizable money continuously buying contracts in volume and buying them urgently. These are typically filtered for single leg trades and are not part of a hedge or multi leg strategy. INTC continues to rip and broke $100 in the AH market yesterday. It will be very interesting to see if the run continues today or not.

For those of you holding NOK contracts from yesterday, you will be happy to know that someone was loading up again yesterday. Does that guarantee it moves up today? Of course not. Continue to use your best decision making skills when managing trades. However, it’s not the worst sign in the world to see that smart money was loading again yesterday afternoon. NOK continues to break through multi-year zones and could still have plenty of squeeze left in it.

SPY is up a half percent in premarket as I write this. It is sitting right at the dominant node of $715. There is some nice positive gamma building overhead as well. There is some negative gamma below but it doesn’t really get impactful until the 710 mark.

This continues to run the same playbook of days past. If we hold 715, I’ll be actively monitoring to find gamma increasing overhead to confirm the move upward. These moves won’t be violent, but more of a controlled grind upwards. That’s what heavy positive gamma does to price movement. Soon, I will be able to update you in real time on this gamma movement and that will be a lot more impactful on your trading.

My team and I are working on the finishing touches for the landing page to begin to offer you real live alerts on trades and gamma updates. We hope you will join us as we plan to take our institutional and quant level tools to help retail traders profit in the market.

Will have another update on this tomorrow! Until then…

Happy Trading!

-Caleb Gregory