Is the rally in S&P somehow tied to the fact that options are expiring on Friday and/or end of the quarter? Last few days have been low volume. Should we expect a retrace next week?

Looking for people who know more about how options expiration/pricing/etc affect the market than me. I just don't understand this rally based on marginal positive news.

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stubbly_bubbly t1_jeg3s5f wrote on March 31, 2023 at 7:31 PM

Are we supposed to pretend this price action is normal?

greenskew t1_jegu7rr wrote on March 31, 2023 at 10:33 PM

Not pretend but partake as normal

nailattack t1_jeg0ld9 wrote on March 31, 2023 at 7:09 PM

Did you miss orientation when you first started trading? They should have told you during orientation, but in case you missed it, stonks go up. It’s really not that complicated honestly.

Dannythewizard456 t1_jegwv6a wrote on March 31, 2023 at 10:53 PM

Fed prints 500 billion in 2 weeks and gives it to banks -> they buy more assets so the price goes up.

Glittering_Claim8079 t1_jegxzvf wrote on March 31, 2023 at 11:01 PM

Banks start gambling again with free money

cristofolmc t1_jeh1jf8 wrote on March 31, 2023 at 11:28 PM

Well the Fed says they wouldn't, in fact, they said they would tighten financial conditions. So if you are right, we have another two 25bps hikes guaranteed.

Stockengineer t1_jeh1bco wrote on March 31, 2023 at 11:27 PM

This we heading back to 440

BarDifficult t1_jeg01rg wrote on March 31, 2023 at 7:06 PM

Based on amount of bears in WSB comments - there are still so many buy-stops left to trigger.

My-Internet-Persona t1_jegajyb wrote on March 31, 2023 at 8:16 PM

They expire on the 3rd Friday of each month (OPEX). Today was the 4th Friday of March, so no.

cristofolmc t1_jeh1azb wrote on March 31, 2023 at 11:26 PM

Nah, market only goes up. You think all logic says it should pull back now right? Well no, this is no longer a casino. Its justs a money printer.

Just buy calla and retire at 35.

BrutalCarlson t1_jegjqwh wrote on March 31, 2023 at 9:18 PM

Windows dressing

VisualMod t1_jefzh7a wrote on March 31, 2023 at 7:02 PM

>There is no certain answer to your question, as the market is highly complex and ever-changing. However, it is possible that the rally in S&P may be partially due to options expiration and/or end of quarter effects. These factors can often lead to increased volatility and trading activity, which could account for some of the recent movement in the markets.

Dothemath2 t1_jeg66dt wrote on March 31, 2023 at 7:46 PM

Shoryukitten_ t1_jegvdwz wrote on March 31, 2023 at 10:41 PM

Thank you

LarschH t1_jegp6b1 wrote on March 31, 2023 at 9:56 PM

The rally just began

trynafigureitout444 t1_jegt02c wrote on March 31, 2023 at 10:24 PM

Ya they’re throwing a pizza party too

VisualMod t1_jefzgk1 wrote on March 31, 2023 at 7:02 PM

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