Reveal the hidden market moving pressure caused by automated buy and sell programs that balance market maker risk in any stock, ETF, or futures contract. Our proprietary value-risk model looks for the footprints left by specific market maker orders and buy/sell side algorithms delta hedging short options creates blasts of order flow as the picture shows razor sharp bounces out of nowhere.
MARKET MAKER WALLS
If you know the market maker positions, you then know where the real bulls and bears are who are on the other side of their trades. This distribution of risk reveals the real bull and bear side of the market and tells you who is winning at market open from the very instant the day starts.
The first retail indicator of its kind to reveal the sum of market maker hedging in all stocks in a basket in one single indicator! If the rate of change of hedging is more long or short, then the index is undervalued or overvalued due to implied hedging. Don’t be tricked by index moves, see what the stocks are actually saying under the hood.
GAMMA SQUEEZE BREAKPOINT
Our model further reveals “smart money” positions: large institutional traders / funds who hold massive positions for quarters at a time or longer and buy deep out of the money options to protect. These positions alone have the power to squeeze the entire market when illiquid if snowball hedging occurs. And if these levels break the market can liquidate in a frenzy due to rapid gamma hedging at the break point.