04-20-2013, 11:39 PM
The market maker hedges his book also and does what they want. Will cover when its in their best interest to cover. Post deal and IOC
has risen substanially many of the bullish bets on with options will decrease dramatically.Short interest from the market maker has to
drop. But some will use options to lock in some gains or to push IOC back down after the climb. The real money in IOC is NOT the POP
but the monetization of the assets and that cash flow. I think many of the really deep in the money calls are the market maker laying off
risk. Understand there is a reason they live in the Hamptons mostly cause they can see the order flow and can play with that flow.
has risen substanially many of the bullish bets on with options will decrease dramatically.Short interest from the market maker has to
drop. But some will use options to lock in some gains or to push IOC back down after the climb. The real money in IOC is NOT the POP
but the monetization of the assets and that cash flow. I think many of the really deep in the money calls are the market maker laying off
risk. Understand there is a reason they live in the Hamptons mostly cause they can see the order flow and can play with that flow.