|bear call spread at 38 delta expiring in 40 days in may4 expiration|
this implies a huge edge in this trade. if you recall my previous post that jeff ma had a mathematical edge in blackjack of just 2% from the science of card-counting and that this translated into a .02 kelly number. well .14 is 7 times bigger. what is going on?
there may be some speculation on a buy-the-dip event, possibly bear traders buying upside calls for protection.
well ... maybe.