Ammo, the OI is always larger at the handles; 130, 140, 150, etc... the Jan 14 series strikes are five-wide minimum (135, 140, 145). Of course OI is going to be higher on ETFs where listings go out over two years. It's meaningful to you out of coincidence. Look at the 135CALL OI vs the 136CALL in Nov. The 135 OI is 14x larger in contract-terms and even more so in notional (>ITM). 125 vs. 126 is 10x larger. Why is the aggregate OI (your image) in the 135 almost double that of the 134? The 140 is boosted because it's been listed for over two years AND it's be an active handle (think VWAP on spot) over the last few weeks.
ti's just that all the moves into exp week abruptly stall and then we play the strikes for the week and back to biz as usual ...looking at the dec put 475/95/515,haven't traded options for years other than a few shots,,is there a reason that the flys are always calls
Has anyone really dug deep into open interest for anomalies here.. or is this off the hip speculation.... I know atticus has said before that a lot of research has been done to no avail..
i just watch the ebb and flow of the tape in relation to market profile and i know it's always irregular during exp week,the boys that do watch your oi take over the market for a week,since we have weeklies now it may slowly become every week
No. I trade irons in illiquid stuff. I will trade a put or call fly depending on my outlook for the underlying. I will trade a call fly if I expect the underlying to trade below the body strike and a put fly if spot is expected to trade > the body. I've experienced that I get better fills on the cover (due to microstructure) if the body strike is otm. Obviously, they are arb-equivalent at mid.