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Are “0DTE” options skewing sentiment?

Summary:
ODTE options may have changed the put/call ratio from a contrary indicator into a contrary, contrary indicator. 

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ODTE options may have changed the put/call ratio from a contrary indicator into a contrary, contrary indicator. 
Mike Norman
Mike Norman is an economist and veteran trader whose career has spanned over 30 years on Wall Street. He is a former member and trader on the CME, NYMEX, COMEX and NYFE and he managed money for one of the largest hedge funds and ran a prop trading desk for Credit Suisse.

32 comments

  1. @eatlaughandstupid4430

    you are the best Mike…keep on truckin'

  2. Amin

  3. Thanks for the insights, Mike. Wealth is about asset accumulation. That is great advice and I am doing that very thing. I keep adding every month and hopefully will have enough at some point for retirement.

  4. How does this trading stuff work? I'm really interested but I just don't know how it go about it. I heard people really make it huge trading

  5. The Professor!!!!!!

  6. What about tesla? Market going up…tesla keeps going down. Im getting poorer everyday. These net flows are not helping me.🤷‍♂️

  7. Are you sure you're not a rabbi? It's not even half time, and I'm making adjustments

  8. @realchicagophill

    2-0 tonight Mike. 21-9-2 70% +$10,285.87. I know that this is just a good run and it won’t stay this way. I’m not a victim Mike. I’m a Survivor. It’s all I can be now. I’ve survived a massive stroke 14 years ago. I survived a widow maker heart attack 2 years ago. I’ve lost everything and people treat stroke survivors like dog shit. The business world is not designed for us. My old job was in industrial construction. I made a good living. I had my house paid off. When I needed a hand and I asked for help for the first time in my life, you could hear a pin drop. I never said no to helping people. I wasted my time, effort and money on people my entire life. I need money and enough of it to make a living. Trying to rely on gambling is not the action I crave. I dislike it but I can win at it. It’s something I can still win at and nobody can stop me from doing it. My time is running out and it runs a lot faster than yours.

  9. Qqqy..big rollover premium. Its looks like an inverse etf. Only goes up with a market crash.

  10. @cryptoniteclark

    3:05 How can you count on a dip in Apr/May, when the S&P didn't have a correction until the start of Aug in 2023, despite a $287b drain in the flows between 12 and 26 Apr?

    • @billcarruth8122

      I don't think he ever says to count on it. Like we seen in December, a pullback might be overpowered by excess bullish sentiment. (a lot of people getting back in to the market after getting enough confirmation that it was a genuine rally.) Also, if you look back at previous years you can usually see the April/May dip.

  11. Wealth creates poverty

    • This is cynical. Wealth in the broadest sense is abundance. Abundance of food, shelter, clothing, clean environment, modern infrastructure, fresh water, healthcare, education, etc. That is not poverty; it's the opposite of poverty. However, if you are talking about financial wealth, it depends on how it is obtained. If it is obtained via economic rent seeking or monopoly then yes, it can create poverty.

    • @mikeydoggy  Cynical is truth. There are people living under tarps in filth without food, healthcare, abundance. Hell they might even have a lifetime of college debt they can't get out of because they tried to go to school after the jobs in their town went offshore. Wealth and greed causes this poverty. As far as the "Ownership Society" goes the WEF has decided that we'll own nothing and like it. Of course they didn't mean that for the wealthy.

  12. Love the off topic videos, very helpful.

  13. @boostaholic8128

    0DTE is running the market inverse to the heavy side. Milking the gamblers day by day. We dont drop until they are exhausted.

  14. @boostaholic8128

    You play 0DTE's you gotta be watching that shit like a hawk and ninja snipe

  15. @boostaholic8128

    Btw general option market thinks we are going down… so that can be an inverse indicator since the job of thw market maker is to wipe the floor with the heavy side of the bets.

  16. When you have a flat nose and cauliflower ears, I'll know you are a real boxer! LOL!

  17. It takes money to make money. What about the strategy of skimming the market to build a revenue stream to become a wealth building long-term investor?

    • Good luck with that. You can't be algos that basically trade on inside info. Time builds wealth. The old saying, "it takes money to make money" is misleading and defeatist, nor is having money any guarantee. Time and knowledge make you rich, even if you start small, which most can do. Saying, it takes money to make money is rationalizing the fact that you have no patience and want everything quick and big, and if you can't do it or have it that way, you throw your hands up in the air in resignation. Bad.

  18. P.S. For what its worth. I'm listening.

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