Based on available information "Omrikon" is most likely not as bad as first thought, and maybe even a net positive according to some scientists. While we are no virus experts the picture has obviously changed significantly since last week and forces an early update:
Total gamma now stands at -128M (up from minus 378M) and gamma inversion occurs at 4650 now.
As you might recall from our Friday update, at 4600 we had a major put barrier. Dealers were hedging their exposure at this level by selling futures. The current price action now forces them to buy back futures, and we could therefore easily snap back dynamically into positive gamma territory and aim for 4700/725, where we have our first major positive gamma strikes.
Remember the situation is very fluid and likely to be headline driven over the next hours. Regarding Covid markets unfortunately shoot first and ask questions later. WTI is up 4.9% as we speak.
Like Hitler losing the war and winning reelection? The people certainly loved him. Insane times are again here. Everything is a positive for this market. Buffett himself abandoned his 7 indicators but remains in cash. Valuations are so absurd TULIP Mania is the best similarity. Bitcoin a phantom currency backed by nothing, secured by nothing, and safe haven for the scum of the earth. December is always, i mean always a powerful bull. This time is no different. No one has noticed the INSANE wild swings in stock market. Unprecedented ones. 666 anyone? We have already lost our republic without a single shit fired and in fact it was welcome so why see this market as anything but bullish.
GammaLab
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@gdleibow, Not a Bitcoin expert, but looks to me Bitcoin is backed by the same underlying than any other currency in the world: Energy. No? Good observation otherwise. VVIX/VIX very nervous.
gdleibow
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@GammaLab, backed by a government with laws and income. Tell that to the drug cartel.