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In today's edition of the market totally isn't rigged: GameStop shares set to close within cents of Max Pain on a Friday
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Isn't it coincidental how every options expiry, the price just happens to close with cents of Max Pain?

For those unfamiliar, Max Pain is the price as which the market makers pay out the least on options, which always expire on Fridays.

Absent any black swan events, keep an eye on Max Pain and the Friday closing price.

But gawsh, those nice market markers would never collude on price to ensure they collect all the premiums, would they?!

One big lesson I have learned from this sub, which I have begun implementing, is to close my options with a Max Pain strike a few days early.

Edit: Right on schedule ticking up to $25. Hey SEC, FINRA and CFTC, what a huge coincidence that this is going to close at minimum loss to the market makers on yet another Friday, right?

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4 months ago