🚗Wild Week for 0DTE

[] [The daily rundown of everything happening at Option Pit.]( [.]( MARK-et Open Hey OP Crew, Griff here with the Chart of the Day. It was a wild week for 0DTE. Check out yesterday’s Gamma squeeze in QQQ – AI mania was in full throttle all week. The big change was 50% of the overall option volume was 0DTE in names including: META, MSFT, INTC, AMD, NVDA, and NFLX … [ This activity turned a ho-hum OpEx into the size of a quarterly OpEx. Probabilities favor at least a mild pullback next week. But then again, the market trades like it’s bulletproof, so maybe keep the bear hat in the draw. Have a great weekend, everybody! Let’s Go! [ [ - OPTION SHOPPER: MARA May26 9.5 calls closed for a 33% gain - TRADING DESK: VXX, QQQ Jun02 36 puts, 325/320 put vertical spread closed for a 10% gain Want to find YOUR winning fit? Give our Customer Care Team a call at 1-888-8772-3301 Monday-Friday from 9 a.m.-5 p.m. EST. Or email them anytime at [support@optionpit.com](mailto:support@optionpit.com?subject=) VIX Edge: Vol Is Too Cheap The Option Pit VIX Traffic Light Is Yellow: Volatility is likely to move wildly. As I stated at the beginning of the week, vol is too cheap. The S&P 500 was pricing in 50 points of movement on Monday – we have moved 88 points in 2 days. The SPX briefly broke 4200 on Thursday. It failed to close there, but may have broken out. A move above there today could start a cascade effect of movement in the index. Thus, as it was on Monday, vol is too cheap. [Click here to see how to play it.]( - Mark Pit Report: GLD Nearing Support There is no loss of positive fundamentals for gold in this environment including: - The Fed taking a pause from its rate hiking rates - Inflation continuing to fall, which will eventually allow the Fed to cut rates - Central banks continuing to accumulate gold - Lastly the supply of gold continues to deteriorate Here’s the thing: fundamentals have a longer term impact on the price of a commodity and in the short-term technicals and positioning dominate. [Today, we’ll look at both to determine where you should be buying GLD.]( - Griff Profits In Pumps: Had You Been There … Wow! What a rally! It felt like such a huge rally because intraday they tested all the weak hands. The S&P 500 (Ticker: SPX) was up $45 before it sold off to up only $4.00, then proceeded to take off for the rest of the day closing up $39. If you were in any of my live presentations, you would have heard me say, for the last week and a half: “Watch the ES chart. I think it is consolidating, getting ready for a leg higher. As long as ES closes over $4120, the chart stays intact.” Here’s that chart, the E-Mini S&P 500 June Contract Futures (Ticker: ES) daily chart: [ That consolidation is called a bull flag. It is found at the top of a bullish green candle. The stock is taking a breather, a pause, getting geared up for its next leg higher creating that flag. It broke out of that range on Wednesday and traded much higher yesterday. [Continue here, and I will show you where we go from here.]( - Licia OPTION PIT GLOSSARY [( There are plenty of terms in the trading world that need defining. The [Option Pit Glossary]( is here to help. Today's phrase is: Melt-up: A market up-trend that is not driven by investors buying based on fundamental values of stock. It is driven by central bank money printing intended to inflate financial asset prices, including stocks and bonds. [( DISCLAIMER: FOR EDUCATIONAL AND INFORMATION PURPOSES ONLY; NOT INVESTMENT ADVICE. The materials presented from Option Pit LLC are for your informational and educational purposes only. Neither Option Pit LLC nor its employees offer investment, legal or tax advice of any kind, and the analysis displayed with various tools does not constitute investment, legal or tax advice and should not be interpreted as such. Using the data and analysis contained in the materials for reasons other than the informational and educational purposes intended is at the user’s own risk. DISCLAIMER: OPTION PIT LLC IS NOT AN INVESTMENT ADVISOR OR REGISTERED BROKER. Option Pit LLC is not responsible for any losses that may occur from transactions effected based upon information or analysis contained in the presented materials. 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