Cryptocurrency Q&A
What is max pain bullish?
What is max pain bullish?
CryptoLodestar
Tue Dec 24 2024
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5 answers
1286
I heard about this concept called max pain bullish and I'm trying to understand what it means. Could someone explain to me what max pain bullish is in the context of stock market analysis or options trading?
5 answers
CryptoElite
Thu Dec 26 2024
Max pain is a phenomenon that occurs in the options market.
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EmeraldPulse
Wed Dec 25 2024
It arises when market makers achieve a net positive position in both call and put options.
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Rosalia
Wed Dec 25 2024
This net positive position is achieved at a specific strike price.
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HanbokGlamourQueenElegance
Wed Dec 25 2024
At this strike price, option holders are likely to face the maximum financial loss.
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SeoulSerenitySeekerPeaceLover
Wed Dec 25 2024
In contrast, option sellers may stand to gain the most. This happens when they sell more options than they buy, causing the options to expire worthless.
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