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"Crash Up" Possible As "Demand For Downside Rages On" Despite Gains, Nomura Warns


by Tyler Durden
Thursday, Apr 29, 2021 - 12:27 PM
As equity markets slowly push to higher highs, Nomura s Charlie McElligott notes something odd is going on in the options markets.
The
demand for downside rages-on, with Put Skew crazy bid (1m 89.7%ile, 3m 93.2%ile, 6m 96.5%ile!), while
upside Call Skew remains Charmin-soft (1m 24.1%ile, 3m 29.8%Ile, 6m 28.9%ile)
This trend has been in place for about a month, and notably the last week or so has seen it re-engaged.
As stocks have rallied, a bid for hedges has accelerated.
Source: Bloomberg
On the other hand, the demand for VIX downside (bullish stocks) has recently surged relative to VIX upside (bearish stocks). ....

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"Crash Up Time" - S&P Caught In Reverse "Gamma Gravity" As Call Wall Spikes

"Crash Up Time" - S&P Caught In Reverse "Gamma Gravity" As Call Wall Spikes
zerohedge.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from zerohedge.com Daily Mail and Mail on Sunday newspapers.

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2.5 Trillion Reasons To Care About This Week's 'Quad Witch' Options Expiration

2.5 Trillion Reasons To Care About This Week's 'Quad Witch' Options Expiration
zerohedge.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from zerohedge.com Daily Mail and Mail on Sunday newspapers.

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