1k to 1M buying goldman sachs puts

Discussion in 'Options' started by kxvid, Apr 16, 2010.

  1. kxvid


    Why did they do this **** on OP/EX? The timing of this move ****ing stinks to high heaven. THIS IS FRAUD!

    Maybe someone should investigate the massive put buying on GS yesterday and early this morning. Someone bought 155, 160, 165 and 170 April puts in size.

    Tell me why someone would buy something 15, 20, 25 or even 30 points out of the money the day (or day before) option expiration unless they knew something already. WHO TIPPED THE PUT BUYERS OFF? WHO BOUGHT THEM???

    The 155 puts ran from 1 cent to $4.85
    The 160 puts ran from 1 cent to $6
    The 165 puts ran from 1 cent to $10
    The 170 puts ran from 5 cents to $14

    Those are exponential gains were as little as $1000 trade could have netted a million dollars.

    taken from http://www.tickerforum.org/cgi-ticker/akcs-www?post=134460&page=4
  2. Was thinkin the same thing. But there wasn't any more put buying than usual.

    Still a stupid decision by the SEC to do this on OPEX. What a bunch of idiots.
  3. Probably somebody from GS or SEC knew about this and decided to profit from it.
  4. Maybe SEC was long puts :)
  5. :D :D :D

    I was thinking the same thing, maybe a few members of Congress too.
  6. sonoma


    Take a look at teenie volumes on the 14th.
  7. would have been great and maybe its something to think about in the future. your post misses on a couple of things from as far as I can tell.

    1. if you know something do you actually buy the 155 puts when you simply can buy the 165s at the same price? sounds more like covering than opening buying. Of course why would somone cover a 155 short at a penny when they could "cover it" by buying the 165 at a penny and be that much further ahead (or at least cover in part with the higher strike price)??

    I was trading (shorting) the 165 160 and 155s today and it was one hell of a ride that was for sure. made money on all three strikes but felt a little heat with the 160s for a while. (I was small size in the 160s but pretty big in the 155s. I didn't end up with any short at the close but I was willing to allow the a few get exercised is the price fell far enough as I been waiting for a pull back to buy some GS (i think this qualifies as a pullback....LOL)

    I did notice a lot of large selling at .01 during the end. this had me thinking about possibly buying options for a penny that are out of the money but close. I am going to make a thread about my ideas with that.

    Anyway, did some people know about this and trade it ahead of time. Not any doubts about it from me but I am unsure your link and info really support the idea. Just doesnt make sense to buy 155 puts when someone will sell you a higher strike price for at or very near the same price
  8. zdreg


    there are gtc orders at .01. you never would have gotten anything.
  9. spindr0


    Ya coulda been a contendah !!
  10. Casey30


    when the news hit the wire, the 175's were quoted at less then .05...so if you were fast enough, you could have gotten all that you are speaking of without any "inside information" at the prices you mention.
    #10     Apr 17, 2010