Basic

UCLA, Film & TV Video Editor, Trader

[Basic @Justabasicninja]

@cfromhertz Nice green candle Friday into monthly value area, relative strength during mkt dump. above the 5 and 20 but below the 50 and 200. Reports Tuesday before open

[Basic @Justabasicninja]

@cfromhertz @MarketWebs Shout of to Master @web_begole 💥

[Basic @Justabasicninja]

@cfromhertz @MarketWebs Yearly value areas are the gold standard of value areas to watch. Thanks for sharing and I’ll be back to your awesome trading group soon. I miss you all! But been busy with work. Everyone needs their reality tv and I’m here to help lol

[FSMN @faststocknewss]

POLYMARKET: BEST CHINESE AI COMPANY END OF JULY

Alibaba: 68%
Moonshot: 26%

[*Walter Bloomberg @DeItaone]

IRAN'S SEMI-OFFICIAL TASNIM SAYS 'THAI-FLAGGED SHIP' TARGETED AFTER IGNORING WARNINGS AND TRYING TO PASS THROUGH STRAIT OF HORMUZ WITHOUT IRGC'S PERMISSION

[Scholar @Limitlesss1]

$SPY Previos Post in Action

Price-to-Premium Gap Theory in Action

Today’s price action was another great example of the Price-to-Premium Gap Theory playing out in real time.

On Thursday (July 9), net call premium significantly outpaced the stock’s price. While price was trading around 752, net call premium suggested traders were positioning closer to 756. This created a price-to-premium gap, where options traders were pricing in a move that the underlying stock had not yet made.

The following day, Friday, price rallied and eventually caught up to that premium level around 756, effectively closing the gap. However, there was one important difference: the rally was not supported by fresh net positive volume. Although price reached the previous day’s premium target, buyers were no longer aggressively adding new call premium. That lack of confirmation suggested the move was weakening and reduced the probability of a strong overnight continuation.

Today’s session provided the opposite setup.

Price opened around 753, but as always, net call premium reset near zero at the open. Almost immediately after the bell, traders began selling calls rather than buying them, causing net call premium to weaken while price initially remained elevated. This created a new price-to-premium gap, except this time to the downside.

When price remains significantly above where options traders are positioning, I expect those two to eventually move back toward one another. In other words, if net call premium continues deteriorating while price remains elevated, there’s an increasing probability that price will fall to where the options market is pricing it.

Throughout the session, net volume also became increasingly negative, approaching -1,000,000. Continued negative volume supports the idea that market participants are reducing bullish exposure rather than adding to it, strengthening the bearish thesis.

Gamma Exposure (GEX) provided additional confirmation.

The 748 strike contained significant negative normalized gamma, indicating relatively strong dealer positioning at that level. As I often teach, negative gamma represents lower liquidity, and when negative gamma below price outweighs any positive gamma below price, it can act as a downside magnet as dealer hedging amplifies bearish movement.

As price traded near 755, the dominant negative gamma below—particularly around the 750-748 area—provided a logical destination if selling pressure continued. The alignment between weakening net call premium, increasingly negative volume, and dominant negative gamma all pointed toward the same downside objective.

This is why I don’t rely on a single indicator. The highest-probability trades occur when Price-to-Premium Gap Theory, options flow, net volume, and Gamma Exposure all tell the same story. When multiple independent indicators align, they provide a much stronger trading thesis than any one metric could on its own.

[Basic @Justabasicninja]

@cfromhertz 🙏

[Basic @Justabasicninja]

@cfromhertz @Chartfest1 😂

[Basic @Justabasicninja]

@cfromhertz TMC

[Basic @Justabasicninja]

@alphatrends 💛🙏

[Basic @Justabasicninja]

@cfromhertz 😂😂😂

[Basic @Justabasicninja]

@web_begole and @cfromhertz are a dynamic duo. Try MarketWebs and check out how @cfromhertz uses it in his free daily recap videos. It’s been a game changer for me. Thanks fellas. Congrats 🏆
#SPY #QQQ #SPY #StockMarket

[Web Begole | CMT, CFTe @web_begole]

This has been my passion project for over 10 years and I couldn't be more proud of how they've helped so many make mind blowing returns in everything from stocks to options and crypto!

Inspired by the work of Steidlmayer, J. Dalton, R. Dalton, and Jones on Market Profile and Auction Market Theory, I extended their work with multiple time frame analysis and additional tweaks for accuracy and robustness that have proven to be an incredible culmination of theory and practice.

A massive thank you to the huge community of traders that use the MarketWebs every day and have given me invaluable feedback as I've continued to refine them over the years!

And of course a special thank you to @cfromhertz for seeing their power immediately and pushing me to make it bigger and better 🙏

[Basic @Justabasicninja]

@web_begole Congrats @web_begole and @cfromhertz for developing this and showing how to use it. It’s been a game changer for me and I feel blind without it. May the charts be with you, always.

[Basic @Justabasicninja]

@cfromhertz What @ripster47 said. Also, Christian is one of the most underrated hidden gems out there.

[Basic @Justabasicninja]

@cfromhertz 😂💯

[Basic @Justabasicninja]

@cfromhertz 😂

[Basic @Justabasicninja]

@cfromhertz 😂

[Basic @Justabasicninja]

@cfromhertz 💯🎯🙏

[Basic @Justabasicninja]

@cfromhertz I doubt Trump will be more direct. He said Covid would be gone in a month and that he would immediately reduce the cost of groceries and is already back pedaling that too 🤷‍♂️

[Basic @Justabasicninja]

@cfromhertz