Today I reviewed the sensitivity analysis of gamma exposure data.

I looked back at the historical moments of significant surges and drops over the past year.

For every huge fluctuation that occurred the next day, the gamma exposure data usually reflected it a day in advance.

The most typical feature is the expansion and enhancement of the negative gamma area. There are even instances where the gamma was positive the day before, only to instantly reverse to negative gamma the next day.

This should be due to liquidity increments rewriting the options positioning pattern.

So for friends who are short-term sellers, it is really important to refer to gamma exposure data; this is a very sensitive tool for judging the arrival of major waves.

Recently, I have been learning about the volume clock indicator that is highly regarded by Professor Byzantine. In fact, the principle should be consistent: by observing short-term changes in trading volume, one can judge the initiation of major fluctuations.

Simplicity is key; if it works well, that's all that matters. Wishing everyone wealth~