Is it a bear market? Is it a bull market? Neither. It’s the monthly fight over options expiration

I posted about this last month when the markets were going a little haywire, so I thought it would be a helpful reminder that the last Friday of every month is the big options expiration.

The guys with the rights to sell high (puts) are battling the guys with the rights to buy low (calls). Where the price ends up at on Friday morning determines which ones make money and which ones walk away with nothing.

For those who don’t remember what happened this time last month, the price dipped pretty significantly during the run-up to the October expirations….and then promptly made a new ATH within two weeks.

So remember that, no matter what happens this week, it will likely have very little impact on the overall trajectory of the market. It’s just whale games.