so now that everybody knows that SoftBank call buying, and the dealer hedging has been the force pushing up the tech stocks, and hence the entire market...will the dealers sell all their hedges (stocks) so that all of SoftBanks call options expire worthless?
whats the best way to trade this?
it would make sense for the option dealers to raise the offer prices on the call options that softbank is buying...let softbank waste their money, and then sell down the underlying stocks so the call options expire worthless. so implied vol on the names softbank is buying will still stay elevated,and might even go up in the short term...but eventually will come back down. as always in trading...timing is everything.
