Options Rolls For Breakfast
By Brandon Chapman, CMT
Hey trader,
The gamma pressure on Schlumberger just doubled.
Someone closed the higher strike, reopened at a lower one, and paid a net debit to do it.
You've probably heard about option "rolls." But have you ever stopped to think about how to turn those into actionable trades?
That's what we're going to dive into today.
Schlumberger saw nearly 10,000 call contracts bought at the $50 strike today for May 15 expiration. The stock was down 2% when the trade printed.
Most traders would stop there. The Ghost Prints Surveillance Console did not.
The Console flagged 14,000 contracts sold at the $55 strike in the same session.
I'm going to break down what a roll tells you about conviction, how to spot opening versus closing trades, and how to structure around $50 where this inventory is sitting.
Click Here to Continue reading.
Most traders cannot tell the difference between an opening trade and a closing trade.
That gap costs them money every week. They see a 10,000-contract print and assume it means something.
Half the time, someone is just closing a position. There is no new pressure and no directional signal to trade around.
In my latest Squeeze Traps session, I walked through exactly how the Ghost Prints Surveillance Console separates the two. I showed how rolls like the one in Schlumberger today create gamma pressure that forces market makers to buy stock.
The Console lit up opportunities on KSS (375% in 13 days), PLUG (206% in 5 days), and VFC (100% in just 24 hours) using the same detection methods.
You will see the Console live, the filters I use, and how I read the data that most platforms do not show you.
Watch the replay and see the Console in action.
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