Hi guys, I have a very basic question about options and how supply and demand applies to them. I have heard in the past that option prices follow the rules of supply and demand, just as all other functions of the stock market. Now, I find this statement to be a bit confusing since it seems that market markers have a never ending supply of options to give out. If this is the case, how can options really be based of supply and demand like a stock is? Also, if options are based of supply and demand, what happens when someone makes an extremely large option order...(ie someone buying 5,000 calls on a stock where before the open interest was in the 100s) Wouldn't they simply bid the price up on themselves the order went through and the market maker would be able to see there is a large demand for the option and he could therefore charge whatever he wanted just as one could with a product in demand in the real world? Also, when a large option order is given on a specific strike on a stock that overall has little open interest, do all the options within that stock follow the demand that has been shown in that one strike or should they not move at all since their has been no demand shown for them individually? Thanks for any help you can provide on this newbie question I have.