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Just thought I would share this perception with the option day traders.
Note the two divergences marked by the yellow lines. Order flow has a lot
to do with option pricing on the floor at momentum turning points intraday.
This sentiment produces price divergences similar to price and volume.
With the VIX in the mid thirties a holder of Nov options is forced to
daytrade them(unless they are spreads) or risk a volatility collapse and
time decay that erodes any gains from having called the direction correctly.
BobR
http://www.oextrader.com/momentum/momentum.htm
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