 Good morning traders and welcome to the pro trader webinar series all week long. We have Some professional traders just go through the list very quickly here today. We have Brent kachuba Stocks and futures and its options. He is a professional options trader with institutional background Tuesday these are all at 10 a.m. Except for Jay trader on Wednesday at 9 a.m So Tuesday we have Fausto Pugliese a stock trader Wednesday Jay trader 9 a.m. Stocks trader. He will be trading live. This is the same webinar that we have with our Global plus subscribers. Hey, so It's free and open to all here You guys will get insight to how he trades live market what he looks at and this is large cap and small cap setups Same for Scott Pulsini on Thursday. It's a regular webinar for us at book map and global plus subscribers He's a futures trader, but you guys will get insight to what he looks at and how he trades order flow And book map for futures. He will be taking live positions And then on Friday we have David Blake. He's a book map user he is a Professional trader or trades for a living. He is not an educator. So he is a book map user This is good. This is the first time we're kind of opening up to other book map users out there and Get some insight from How they're using book map David is a futures trader excellent futures trader. He also trades some stocks I think recently as well good morning Tom Allen and Doug And and we'll have other guys come in here soon as well. Okay, so looking forward to that We'll be opening this up today Brent Kachuba and His bio here. He's been trading equities and derivatives for almost 20 years Work for Bank of America credits credit Swiss both as an equities broker and in algorithmic sales and trading Following that he's institutional sales for Wolverine Representing their electronic derivatives trading platform and currently Brent trades some proprietary strategies and runs spot gamma comm Which publishes various metrics on options data various metrics is probably an understatement. There's a lot of Metrics to check take out take take away from I have all Brent's Contact information, I'll be posting this directly in the chat if you guys want to reach out to Brent and spot gamma you have the website you have a subscription link I'll show you this if you're interested in it on the or maybe Brent can show it later on the bookmap marketplace And then you've got his email. You've got his Twitter and then special offers For from Brent as an affiliate. Okay with book map So without further ado, let's now turn it right over to Brent and let him get into it All right. Thanks Bruce Make sure I show the right screen here. I'm not sure if I just did that See a windows icon and it's a vertical screen right now It's it I don't know if you have to make me presenter again. I think it's presentations Okay, let's try it again. Oh, you know what? I wonder if I got a dragon on this screen. That's why sorry everybody one day One day Brent will get this right. All right How's that? Windows icon looks great again Just it's beaming through All right, there we go now. We now we see book map. Yeah All right, there we go. Everyone these things is different. I feel I show my age when I don't know how to work these things Like a real boomer Thank you everybody for for joining us here. It is shortly after the open I know when it's on a Monday, so everyone's probably trying to get Trading and so I want to start just real quick looking at a live View of the hero indicator along with we have both a stop Indicator and iceberg indicator, which you know Bruce could really tell us a little bit about but we just saw like a really interesting trade before I kind of get really into what the hero indicator is You can see this white line here is the hero indicator itself And what it's doing is it's tracking the options market in real time So for the ES futures, which is what we're looking at here we're watching the SP why ETF options and the SPX index options and When that flow comes in when all those trades are happening we're keeping track of those trades in real time and figuring out whether the Market-making hedge pressure is bullish or bearish based on those trades So if the indicator goes up as you can see here along my cursor, hopefully That's bullish flow and then when it drops down that's bearish flow. So for example Tell someone a fancy pencil here. So this area right here Is a big drop and what that drop is telling us that somebody either came in and bought puts or sold calls Those are bearish trades and that the interesting thing here Which caught my eye, which is why I want to start with this was not only do you have a big drop in the hero indicator? You have this iceberg and stop run I'm sorry, Bruce is actually more of a stop run than an indicator and kind of this big volume spike along You know with the the dots showing the big volume spike here So this is a big options trade comes in a few seconds later the hedge hits and the market kind of drops down So that's a really kind of beautiful example of the way that this can Help traders out and so really, you know just to set up today We can come back this but I just want to give a real on-chart example You can see that the hero indicators just been bearish. Well to start the day It's not overly bearish, but it has a bearish pressure on it And then you know you can see that with that the market has just kind of been bleeding lower as well To to kind of start things off here just to look at a few these other names while we're on it Just give you another example. Here's AMC oops Here's the AMC chart so far to start the day and what's interesting about this is we start off with Bearish flow again to start the day as you can see here and then it bottoms out So when this indicator bottoms out it tells you that the options flows neutral Meaning options traders are no longer, you know overly bearish over this bullish. This is just flattened out So nothing's really happening in the options market Nothing's really happening in the stock and then as you can see in here bullish flow comes in and we have the stock kind of lift off So this is the type of thing we're looking at You know, I'm going to give them the presentation really quickly now And we can come back to some of this chart and take some questions as well These are standards, you know risk disclosures here everything that we say in the presentation This is all theory and ideas. Please don't trade off of this information We are not licensed to give investment advice, etc, etc So many of you are familiar spot game already as Bruce mentioned We analyze the options market and we produce trading levels off of that flow Many of you are Familiar likely with these cloud notes that we produce for the ES and NASDAQ. These are options based trading levels There strictly comes from options data and every day these are updated and they provide significant sport and resistance levels in the market We have tons of videos on YouTube which talk about these levels the idea of gamma flips, etc But that's sort of the bread and butter Business that we that we offer So let's talk quickly about hedging flow and this is going to build into the hero indicator We believe that options hedging flow is a major driver of markets and this is particularly true of the ES The S&P 500 complex and then any name where you see large options volume This past couple of weeks AMC GameStop. I mean these names have had massive options volumes AMC in particular is just obscene options volume. We did a quick study of two weeks ago. They had a day I believe it was a Thursday. They traded 2.8 million call options. We look back at our data going back to 2005 And that was the 50th largest One-day volume for a stock ever going back to 2005. So that's you know, that's a really big number I'm not sure statistically what those odds are if you obviously track 250 trading days per year over the last You know 25 years, you know, that's a lot of volume that traded. So Any time you have a name like that where there is that big options Volume and options trading there should be big hedging flow tied to that The other thing about this hedging flow is that the Market makers have to hedge constantly They can't just sort of if you have a big fund, for example, that comes in they need to buy 10 million shares of Blackberry their order comes in they may trade over the day or however they want to execute it and then the order's done, right? They're gone, but a market maker needs to continuously hedge all day long stock goes up They got a you know buyer sell and if the stock comes down, they got to do the reverse, right? They're gonna constantly adjust their book Constantly trade those flows and the more options trade the bigger their hedging flows gets and they are obviously also required to make markets all day long at least most of them as primary market makers At least most of them as primary market makers and so you know this hedging flow never goes away It's consistent all day long. Yes, you know If a big pension fund comes in and decides to trade a name it can override or or push around those options flows Right or change the market around but a lot of times this comes back in this mean reversion concept We'll talk about where the stock maybe will get pushed up or the ES will get pushed up into a big resistance zone For the S&P 500 and market makers will need to sort of adjust their hedges and bring the market back down into these big options levels So the point is is that The options market making flow is very large and it's very consistent. It's in there all day long day in and day out and the hero indicator is meant to sort of Show us those flows that are taking place in real time and then that builds into our analysis that we provide Every single morning before the market opens Let's talk briefly about how delta hedging works So anytime that an options trade hits the tape someone buys a call or sells a put Market makers may need to hedge that trade and that is called a delta hedge So somebody buys a call Bruce comes in buys a call on the market maker Bruce buys a call I'm short the call as a market maker and I have risk if the stock goes up as a market maker I don't want directional risk So what do I do I go out and I buy shares of stock now the delta is the number of shares that I'm going to need to buy So if the option is a 50 delta call I'll buy 50 shares of stock if it's a one lot option And if it's a you know larger order, I'll need to buy more shares So that initial hedge that happens is the delta trade and that is what the hero is measuring for us And as you can see on this table, I won't go through all these but when the trader initiates That is what we're measuring right so the hero is literally showing you this dealer. Sorry about that this dealer component right here so one at the start of the Presentation here. I said look if trader if the cumulative indicator is showing a bullish flow that means we got a buy stock That's because the dealer hedge is to buy and very vice versa We show that that example where the hero dropped very sharply and there was a big stop run That was that's why I said it's likely somebody sold a call or bought a put Because those are the two trades that generate a negative delta trade or a negative hero reading like we saw on the screen a Few things about hedging There needs to be a certain amount of hedging pressure of two trade if retail Traders are coming in buying one lot. It's likely that those aren't necessarily being hedged So you want to look for large trades which we can talk about on the screen Those trades need to get hedged immediately right immediately right because those are bringing on a lot of risk those big trades and Then the second component is this rebalance idea through the day We know that when the market opens there's a lot of hedging flow that comes in right because overnight stocks move around and Pre-market there's a lot of activity So there's got to be a lot of hedging flow for market makers to start the day And then the other period we think is extremely important is that into the close in the last 20 or 30 minutes of the Day all traders market makers just like any traders their risk needs to be squared up at 4 p.m You know they have risk managers are gonna tap them on the shoulder and say hey your exposure in you know stock ABC is just way Too big they can't take that they didn't want that so they make sure that into the close They all they all hedge and then this ties back in the large trade idea that when a random big trade comes in that trade needs to be addressed and Hedge so those two components are the hedging component That's the value of hero we think kind of intraday and then the third one which is really important is sentiment Right if we know that people are buying puts all day long in GameStop stock probably gonna be under some pressure Right no guarantees any of the stuff But that's a major indicator to me when I look and say okay if I know people are putting on bearish trades You know that likely saying that the stock is gonna be under some pressure right so it can be a Divergent or it can coincide with the way things are moving and however You want to play that signal can be up to you, but that sentiment indicator we think is really important Let's talk briefly about hero works book map is a partner of ours And I want to make sure everyone you know is aware of how this flow comes in But basically what we do is we're watching the US options stream in real time It is the largest market data feed in the world as far as I know It is a tremendous amount of computing power and book map obviously is adept at handling high-frequency Trades and market excuse me high-frequency order flow and quote feeds. I should say high frequency trades but high-frequency quote flows and They're able to parse this so we have a black box that resides in the book map infrastructure and the Order feed the quote data feed and trade feed comes into our black box and then it's displayed in the book map chart So the hero indicator self stands for the hedging impact of real-time options as You can all probably figure out by now We are monitoring and watching that real-time trade options feed as all the trades come in we display on your chart in real-time The hedge impact of all those trades. We showed some examples at the top So I'm just gonna flip through these next few slides But basically what you're gonna see here is we have two sets of indicators on screen We have these little triangles and the triangles are showing every single individual trade And if it's green that's a bullish trade took place and it was red That's a bearish trade that took place and then inside of the indicator itself as a number And that number is showing you the actual hedge impact of each individual trade So a big number, you know 1k means this was a larger trade from a hedge impact perspective Then a small number here like 495 so bigger number likely means Larger hedge right and that should have more impact to the market The other thing to note is there's two types of trades that you often see here One will be one very large trade which is oftentimes comes through a bank desk Someone might call, you know, J.B. Morgan and say I want to buy 10,000 SPX calls at the money was likely that the market maker that the bank excuse me in that case is gonna put the hedge up first and then Print the trade so you may see in this case a big jump or drop in futures And then an options print and then the second way is Through a sweet mechanism where you put your order into an algo right in the algo in this case Would show you 20 very small trades or smaller trades Meaning 20 small triangles and then you would see the hedge impact oftentimes come after that. So the indicator is displaying this data to you Right, it's it's it's translating this raw data into what we believe are actionable metrics and and showing you these Again these hedging flows. So in this case, those are the onscreen triangles and then below we have this cumulative indicator The cumulative indicator is the rolling sum of all these triangles essentially. It's telling you How this flow is shaping up over the day And it's also a convenient way to really see large trades that come in if you don't if you think that the onscreen indicators Can get a little bit much or a little overwhelming you can watch this cumulative indicator and see here For example, it's clear that a big bearish trade just came in again that this syncs with the original example I showed it in real time And and the hedging flows will likely come in on top of that now All of these indicators are fully customizable the color of the size We have some aggregation metrics or Aggregation features you can show so as you get comfortable with it and depending on how you like to view your charts as a trader You know, everybody likes to have a little bit of a different setting or flavor So these triangles are completely customizable, but you're you can't do anything to adjust this cumulative indicator You can change the color, but we don't allow you to change the Aggregation method for the cumulative indicator because we don't want you to lose any little flow every trade from a one lot up to a You know, 10,000 lot whatever it is gets tracked by that cumulative indicator But you can change the size and aggregation features of those onscreen indicators We should note that there is a video on our YouTube channel that walks you through all those settings This also works for single stock as you can imagine off of again the opening presentation But here again, we were looking at GameStop This was obviously charges a few weeks old because game stops now at 230 But you can see the stock here comes into highs and then as it hits the highs Big bearish flow comes in and with that the stock will trade lower So this is a big signal obviously that the stock was going to come under some pressure And then when the hero indicator flattens out and mentions at the top But when this flattens out, it's simply saying that the bearish flow has stopped, right? It's not bullish flow anymore. It's not bearish. It's just whether it's neutral meaning You know buyers and sellers are coming in or it's simply that volume has dried up either way this this is now a neutral reading So again bearish flow comes in the hedge flow comes off But the hedging flow comes in to short the stock or sell the stock off But then you have this point where the options flow stalls, right? And when it stalls that can be an interesting time to watch the market because that can tell you okay the options pressure is now off and That can often times show Points at which the the market may mean revert or change and we'll also see with our spot gamma levels that The options flow in the ES Will build into our big options levels and then you'll see the options flow change or flatten out around those big options Levels been quite interesting to see how the play out how our levels play out, right? Our daily levels play out with these With the real-time flow that you see You can also watch the VIX which is quite interesting We found that the thing that's most interesting about the VIX is that again It's a sentiment indicator you want to know where big bearish or bullish flows coming into the VIX It doesn't actually translate into the price of the VIX futures But by bringing up the VIX futures, I can watch the real-time flow in the VIX. It's particularly interesting when the market is really Moving around quite a bit. You can also watch the VXX and UVX Y options, which is quite interesting If you like to play those roles, I think there's actually some insight with the hero indicator With those roles if any of those if any you guys like to play the decay of those of those VXX and UVX Y those VIX products. It's quite interesting So the ES and NASDAQ futures, you know, we showed some these coincidental things What I'd like to do is just sort of flip through the next two slides here and then show some on-screen real live information live flow and then we can Very gladly answer any questions again, you know, obviously bullish indicator here bullish flow comes in All these dips get bought and we sort of have this head pressure up into the end of the day I mentioned before that at around four o'clock and it's when we think one of the bigger hedging times is on the day and Oftentimes if you see positive options trades positive delta trades then that can Maybe give a clue that at the end of the day particularly in the market is very busy and very volatile That dealers have to do a lot of buying or selling to hedge themselves out So here you can see really big bullish options flow all day long and that lend that hey Maybe dealers got to buy some futures into the clothes to hedge out their book and you can see in this case The market gets bid rate to four o'clock and then rate as the market closed and we get this adjustment, right? so we get this real-time bid until the risk is sealed up or risk is covered and then and then it sort of mean reverse just a little bit but you can kind of Get a good feeling for which way some market makers may have to lean based on this cumulative indicator over the day This works the same way bearish. Obviously. What was interesting about this chart is right at one of our major levels. This was a fed statement came out and The initial reading was bearish and I include this chart because the initial reading is bearish and what was interesting here Is that we hit this other major level? 4200 but the Cumulative indicator kept selling off So in this case the mean reversion trade was it made me pause playing a mean reversion trade because this bearish flow in the market kept coming in in other words puts call sellers or put buyers one of the two kept coming into the market and that was the clue that hey We may not get the bounce that we're looking for here And obviously this sits on our major risk line of 4200 at the time You know, so the fact that this bearish flow kept coming in Meant that hey, maybe I don't want to play this mean reversion, right? And obviously there's no guarantees in trading not giving trade advice here But this kind of idea that the bearish flow kept coming in this is not only a sentiment indicator But the idea that market makers may have to keep selling especially as you get this gamma flip level That that hedge pressure might may keep on the stock What's kind of funny about this chart is this is from May 10th And we're kind of basically right back to these levels here a full month later gamma flipping at the same point 4200 and Major resistance at the same line as 4246 so Month later here. We really haven't gone anywhere in the market as a whole If you want to get the hero indicator you can head over to the book map marketplace It's on the front page. They've been very kind to put us up there I believe it's the top right and there's some bundles for spot gamma levels as well as the indicator itself So let's close this presentation here, and then I'm going to show some on-screen charts And AMC and GameStop so again here is the real-time flow for the ES you can see now We've really turned a little bit bullish here So we were quite negative and now this flow is starting to drift up our major resistance line Just to pull that on the screen here. These are our major levels for today 4273 is the major top of the range, but you can see inside of here 4250 has a pretty thick band of gamma as well and then our support line our major support line for today is 4225 So those are the really the band is 4225 up to 4273 is our levels for the day And so when you take that in context with the fact that now the flow is still negative on the day at negative 15,000 but you can see it has come a little bit more bullish And the selling has ceased so overall we still have to flip back positive so to speak on the hero indicator, which is here But there is a little bit more of a neutral stance to market at the moment So a question on that like it so I've Seen you cover this a few times The when you see spikes in the cumulative volume Delta in the sub chart there The way that you've been covering this is like, okay Now we know the positions of the of the hedgers in these areas and when it starts to flatten out like this It means basically they're not hedging any longer. They've made their hedge Yeah, that's that's exactly right. And so if you think about this here this this is You know slightly bullish flow, right? It's not but there's never really not much movement when you compare it to what happened here or what happened in here Right and I mentioned before that you know market makers aren't here to take directional risk and so they need to hedge right away and then once that hedge is done Yes, they have the gamma hedge Which is the adjustment to their hedge that takes place over the day But really it's a Delta hedge that comes in and it's kind of immediate and and so what's interesting before as I meant sometimes You'll see the big hedge first and then the option will print so in this case That's kind of what catches my eyes. You see again a big stop run and then here is the print itself Because obviously, you know with the big desks Someone may call up again JP Morgan say I need to buy 10,000 calls And then the bank may take that order down themselves me and they'll trade it themselves They'll put the hedge up first or they may call around to other Desks and say hey do you guys want a piece of this trade right and and so, you know this rip here? You know may well coincide with this fact that the flow bounce here We get this stop run and then boom you see the big options print Go up which is sort of you know a little bit of the reverse of what you see here But the fact that you have a big options trade and then a big stop run to me, you know, that's very coincidental Those two have to be linked because oftentimes you'll see like here's a big stop run, right? But there's no real options trade in there But that that is a very good point Bruce that you know really we see and there's very neutral flow in here Stop runs are very quiet not much going on and the market is just kind of sideways along with that I mean it's You know, it's a it's a different read on the cumulative because It typically like a cumulative volume delta like if you're looking at just volume for example In the study, you know, you're using different readings not only spikes But also different readings and nuances in that in that accumulative reading But in options, it's a bit different of what you're saying here of the reading when The bigger hedges have been made and this is like they're done At that point and like, you know, they have to wait until Another time to hedge or they're slightly adding to it in this case bullish, uh, you know to the to the Yeah, and I think it's pressure too, right? I mean the the fact that the that this indicator here is so flat for the whole time Says there's nothing of any real size going here But at some point if this continues to just drift higher and higher That's pressure that adds up that they'll need to hedge at some point You know all retail comes in and everyone Every retail trade in the world buys a one lot of of amc calls You know that first one lot doesn't need to get hedged But does the 10th 20 30th, you know 1,000 times that retail trader buys a single call? Yeah, those got to get hedged at some point, right? So, you know, it's a pressure There's a pressure component to the whole thing really as well Right, right understood So looking at some individual stocks here as well I don't know if we want to take some questions while we're talking about this But you know, I like to show the real-time feed rather than just some static charts So that people can really get a feel and today for how things are going Look at GameStop here GameStop 230 is our excuse me 250 is our major level going into the big expiration today And in this case, it's slightly bullish options flow It's not overwhelmingly this 500 number is not a very big number So GameStop is actually pretty quiet in this case not much going on Tesla, I think we have some on-chart indicators for ours at IWM I left on charts and yeah, so this is really interesting here I mean IWM is getting beat up pretty good And then this is just very big bearish flow. So this is super interesting here to look at And what you can do actually is you can we can put the on charts on but you can go to an options montage and look up the trades and see okay, what actually took place here But you know if you look at I mean look at the the timing of this here, you know And this selling is just so interesting to me how big of a trade this is and that pressure just stays on in the stock You know, IWM just can't catch a bounce So this is that pressure, right? It never comes off The selling pressure never comes off on IWM Go ahead uh apple left on charts on so here's apple, you know, totally different story It's bullish flow coming in, you know This kind of almost smells like some kind of rotation when you see such bearish flow in IWM And then you know these major tech names apple and Tesla both have very bullish flow In the options name or in the options space So here are the on chart indicators themselves again You know, we can look at this and see Big drop in the off the top, you know, the the flow flattens out in the hero indicator and Here start it starts selling off the the options flow is negative all of a sudden And with that we see big liquidity time with these big sell-offs and so you say is this news, you know I don't know maybe a headline hit. I'm not sure but I know that Regardless of whether or not there was a headline I know that trades options trades big options trades hit the market and I can play this Drop now differently in my view. You know, this is a 80 cent to one dollar drop something like that in the stock And so if I know that okay look big volume spike, was there big news? I don't think so I think it was just the fact that this big negative options flow came into the market And what you can do is if I can scroll my mouse wheel Oh, I'm strong my mouse wheel. I can zoom in on this flow and I can really dial in and see This is one of the great parts of having this flow and book map is that I can drag the chart back And then I could just scroll my mouse wheel and really zoom in to see okay specifically what happened here Okay, it looks like again big Negative bearish flow coming in and then it looks like here's just a big stock print So were these sweeps that hit the market? And then it had to get hedged or was there, you know, one bank that piece something out and the hedge went off You know either way that that tells me look Bearish bearish bearish flow pressure pressure pressure big stock print, you know big bear stock print and then we're done You know, maybe this is the hedge said that okay We're done and we trade sideways and look at how this options flow Flattens out here and the stock goes just perfectly flat as well. I mean that's you know These these two are extremely correlated here so Yeah, and also, I mean I haven't studied it enough to take a look at it though, but the but the the direction is downward the the Hero cumulative can be flat line, but the direction Trade the directional trade is is is bearish So and and they're they're all set for it Yeah, and and the other thing too as you can see these numbers here 528 251 455 These are all these are big trades here, right bigger trades They need a larger hedge and then out of it. These numbers are all really small 612 1820 etc So these are calls or what, you know possibly long calls and and long puts here or something like that, but these this flow is just pairing off They're small trades, you know if a retail trader buys a five lot, you know that shows up on the indicator Or that's indicated just as is a you know, big hedge fund trade So, you know, this is flat. So this is very neutral flow. Nothing happens And you can see the stock just does absolutely nothing after dropping, you know, basically a dollar with this bearish options flow. So it's a Presents some interesting ways to look at stocks and and how to play them Or I'll take some of these questions here if someone has any Yeah, sure. Um, so well first off a few people are commenting on it It looks like the vault the volume has rolled over on the es Contract it's now the september contract. I don't know if you roll over That's right. I didn't want to I set up all this stuff and I didn't want to change my indicator I realized that right before the for the end so For anyone who subscribes the spot game of stuff all that is synced to go out today to the september contract With an 11 point spread instead of a four point spread that we're using that Okay, excellent. Um, so there's your guys answer on that one. Uh, the um, I'm just a little curious, um, Brent like, um, Uh, you've you've mentioned several times in the past about the, um, You know, the institutions that they they get they get their, um, you know Order to uh, yeah, you've we you know, we want to purchase all these options or the dealer does and and Then he needs to hedge if does he need to Legally, I'm just wondering like does he need to first, you know, take the options trade or dizzy hedge? and then hedge after Because he's kind of front running it basically Well, I mean he right so the the the upstairs guy is It has to fill his customer or his order before Uh before you can do the hedge so, you know, once I take my risk on right once I say, okay, Bruce, you're filled Then I'll then what happens generally is so you know what your price is and then I could put my hedge up and then You know kind of right after the fact I need to put my The options trade up right because if you put the options trade up and you tell the market You know the market can move away So I can only really hedge that once you're filled if I was going to put my hedge on first and then tell you You're filled that would be the part that would be, you know, somewhat, uh, I don't want to say illegal but You know that that would be frowned upon by regulations So some kind of massive trade just hit here. It's kind of interesting And then with an option sweep what's interesting about those is that the market doesn't know that those are coming Right because those are an electronic sweep function. So the market makers have to react to that because suddenly, you know In their electronic systems, it's all You know, just the big book they have they're gonna say oh shoot, you know, we just bought 10 000 AMC at the money calls like we got to run out and hedge that thing And that's why sometimes you can see the prints hit first and then you'll and then you can notice that the That the stock will move accordingly And so this is again here, you know, big icebergs big stop runs and then, you know, this kind of bearish Excuse me bullish options flow. So it's interesting in this case that the stock kind of comes down with the stop run And then we see this thing print So Yeah, yeah, interesting interesting Confluence there like someone's about to buy some quality sell down So the hero for mac os is in testing I believe so I don't I'm gonna say July 1st My was my expectation of one that should be ready if not earlier But we will need to check with I believe al on on your side, right bruce yes Alan good question. Do we look at customer initial option purchase or the broker hedge to look for the market direction? So we're looking at the customer flow And if customer buys a call then we know that a market maker needs to buy stock the hedge So we're looking at the customer side of the trade to determine the market direction hedge John david asked about tesla Bring that up for sure. Oh, unfortunately, john left us bailed on us here But here's the flow for tesla for today Again, it started bullish and then, you know switched a little bit bearish. It's really just kind of been neutral You know the stock is down a little bit Or excuse me, it's up on the day, but it's down a little bit off the highs You know fairly neutral options flow really after call 945 I mean like this this this kind of chart right here with the with the hero To me like I have not looked into it yet, but it just looks like such a great pullback strategy Yeah, I mean in this case, you know this Look, you could have selling that's not related to the options market and You know particularly like game stop on like thursday You know it looked like some massive fund was in there just kind of selling the thing after earnings and And the options indicators actually were positive or shifted positive towards the end of the day And that was kind of an interesting way to look at the stock But in this case, you know the stock's down 10 bucks from its high it's still up on the day Yeah, but this is bullish flow coming in right? So the the options market is not really backing off of this thing. This isn't like massively bullish order flow, but it's bullish So That would you know that goes against or diverges from the fact that the stock is coming off I mean, this is quite a rip to start the day. So maybe it's just some consolidation, but You know what I personally have a little bit more comfort in buying a dip if I wanted to With bullish flow options flow, you know, absolutely I would you know personally Whereas if this was sharply negative, you know, I would probably hold off on it to buy a dip in this case John the cloud notes are should already be reading the new contract. I think if there's the spread is wrong I think the spread should be 11 and I think it's currently reading four that's that's been flipped for further close Alan asks again, if we're looking at customer orders, then when do we look for the hero to tell us? I get confused in that part. Yeah, so the hero is telling you in real time what needs to take place and The other thing Alan is that I don't know if you follow our regular spot gamma work, but the biggest The biggest options flow in the s and p 500 is I mean, look at this huge options bullish trade This thing just rips off the bomb. So it's fascinating. We see stuff like this all the time, you know, I mean, it's just uh You know, it's just amazing to me But anyways I digress so what happens is in the s and p 500 and sort of the basis for all of our Work is that when spx index options trade, which is a massive Options complex, you know, there's obviously trillions of dollars linked to the s and p 500 but when spx options trade And to a certain extent as well the the sp y the the market makers have Will often hedge with futures And that is what the impact is and that is why the es Really respects these levels of the options market. Obviously everything is linked to the s and p 500 index So you have not only the spider etf, but you have just the components of the index itself, right? There's there's a there's a basic equation that goes into adding up or Putting together, you know, the s and p 500, you know, it's a it's a market cap weighted index So apple and amazon and the stock the movement of all those stocks goes together So there are players that are arbitraging all of these Different parts together, right the individual stock the futures as well as you know the options and the etf So that is why the es futures syncs with or moves with the spx options It's because the s and p 500 is all linked if any one part of that component say if spiders start really moving up But futures don't well, there's an arbitrage there, right? And someone's going to work to collapse that or trade that arbitrage and lock in that You know lock in that money or that difference So that is why when you see a big print in the spx options That's why how can get translated into the spiders or the spx and it's also why You have to watch the whole s and p 500 options complex You can't just watch spiders and try to trade off of that and you can't just watch the spx and try to trade off of that spy and spx are both equally large They're about the same size right now And so you have to watch this whole thing holistically, right meaning you have to take in all those different pieces together How does different levels get reflected eg amc calls so let's pop over to amc quick take a look at that For calling some call options. How do different levels get reflected amc calls at 55 and 70 with a different pressure guess at 100 Right, so we are not looking at a good question column We are not looking at the number of contracts that trade We are looking at the hedging pressure for that trade. So you could have a one lot at the money spx option That means the market maker needs to buy ourselves five million dollars of features Conversely, you could have a december you know Or you could have next week's, you know 5000 strike call option You could have 100 of those trade and those are so far out of the money they require no hedge In our in our indicator in real time is going to show the difference right because the hedging pressure is what matters Not the number of contracts, but the hedge required to lock in the risk or deflect the risk of that trade So I hope that makes sense con we don't care again. This has nothing to do with the number of contracts that traded strictly the Strictly the hedge impact of that and again, look at this. You can see this right here This curls up and we have a big stock pop right here. I mean, it's not a huge stock move It's it's a good, you know 40 50 cents, but you can see those volume The volume is how linked they are right again stock drops big options trade Um, these two are often so in sync and we see these big trades often times I see one or one or two times a day where it's just such a big trade comes in and the market moves so much And you know Yeah, it wasn't news, right? Everyone else just scrambled around to figure out what just happened and you go Look at this on my screen right now I know that was just a big options trade and I can play that differently than a You know a headline hits which really may shift the stock over the long time if I know this is a big trade that hits You're oftentimes going to get me in a reversion like we just saw take place right here Yeah, that's exactly right calling that I'll go discounts the the uh It discounts trades that are too far out of the money are too small you don't have to worry about in that That's why we're showing you the hedge impact Not the actual options print Because as a trader look you don't want to parse through this information I mean, look at this. You can see his bullish flow hits up goes the stock, right? I mean, it's uh This happens all day long every day. That's why you know, I have complete confidence in showing this play out in real time because look Um, let's watch the live feed because this happens all day long every day It's really fascinating to to watch and You know, again, it's hedge impact, right? It's not number of contracts There's a lot of vendors that just show on a on a pretty bland table You know big trades that went off and then you got to manually try to parse through yourself What does that mean to me? What does that mean to me as a trader? What what am I supposed to do with that information? Instead you can see that play out real time on a chart and As far as I know, I've looked around pretty good. There's nowhere else to see this stuff on a chart in real time There's people that show you tables and give you some again fairly static data, but nowhere else I think even to you know, pretty big hedge funds. I mean, we've been talking to you know Bloomberg and the like and there's just nothing else out there like this. So Really this combination of what you know, we have built here with book map is I think you know, it's really really pretty special and I'm not just saying that to To blow smoke on everybody here. I think it's I think it's legitimately pretty amazing to watch So it looks like the questions have all been answered for now. If anybody has any questions I am available at spot game on twitter as bruce mentioned. You can also send an email to info at spot gamma.com Through the book map marketplace So you can sign up for the hero indicator as well as a bundle Which gives you access to our spot gamma levels So a lot of you like to have those cloud notes set up in addition to the hero indicator There's some nice packages that you can sign up for there On the book map marketplace Good a good question con as well. Just take this one last one before I sign off We are currently working to track all this data So the goal here is to be able to tell you within the next few weeks Hey when the hero indicator reads positive or negative, you know x that means typically that the stock goes up or down You know in correlation to that. So we're gathering all this data. We're gathering all this information We're going to be able to hopefully tell you again within a few weeks statistically. This is what happens When the hero indicator again is positive 10,000 stocks tend to go up or down or whatever it may be We're gathering that information. We're gathering this back dated Back tested data and we're going to make all that available at some point over time here Alan I don't at the moment offer private coaching if you have any questions shoes and email We'll see if we can help you out info at spot gama.com Yes To be out of sloth Thank you I'm sorry about I have a very strange last name that causes people to to pause Let's say your name is strange. I apologize. That was hard hard time to pronounce that so you are very correct there, sir It is the deltas that we are looking at with heroes not the gammas Spot gammas sort of data really the the everyday data we put out before the open that is really based off of gamma because it's a The idea is that with spot gamma at the end of the day. We're getting trades that have already taken place We're looking at open interest. We're trying to figure out where Dealers need to re-hedge with the hero indicator. It's showing the real-time hedge that has to happen And that's off of trades. So those trades again get delta hedge right away And that is why this is a delta indication not a gamma indication very very good question and kudos to you for making that differentiation And allen yes, you can I believe look at this for a gamma squeeze So we have this product called the equity hub Which shows you where the big pockets of gamma are and where hedging is likely to pick up but I mean you can just look at this right now in amc and We all you know are looking for when The hedging flow changes in a name so you can see it's very neutral leaning bearish options flow into this Flat area here and then this call buying lifts off and you can see the correlation between big pockets of call buying As well as the stock going up now If you use this in combination, I can't get in this now But we have a whole bunch of youtube videos that show you the hero indicator along with our equity hub levels And you can see how those overlap and how you can start to identify Gamma squeezes, but in this case, you know What's so interesting to watch in this in this particular instance is I believe that this lift is Function of strong call buying as you can see here And so if this cumulative indicator backs off or or goes sideways that can be the tip that hey Now the squeeze might be over You know for a certain amount of time obviously trading you never know for sure But if I was saying hey this rip is kind of crazy I would look for it to trade into a level with big open interest And then now you can see that the pressure here has shifted Right and and the stock is starting to bleed off and come back down I mean this is a this is a pretty good move here, right? $2 50 cent move and now the options flow looks like it's starting to turn So if you wanted to short the stock this could be one of the things you look for is the The options flow to change pace right now if if the hero indicator kicks back off Maybe you want to back off of that short, you know, but use this in conjunction with some of your other levels And things you're looking at as a trader. So Yeah, I mean Brent this is just to kind of comment on that on the tail of that like just reading the order flow within the The options indication here Is is that's you're getting quite an edge there by by being able to understand where that liquidity is And and see the buyers coming in charging up after that liquidity After these these these bullish options hedging positions here Yeah, and and it's a great it's a great point bruce, you know so much of what you guys talk about is You know, where's the liquidity and the stock and or future will seek out where that liquidity is, right? And so You know, you can you can use this as a way to sort of again overlay Okay, I know I want to get along the stock where I want to sell as long as the bullish pressure is coming in We'll look for these areas of big liquidity But you know some of this again as as traders, you know, you all have your different strategies and this hero indicator can really be a great overlay into that I think there can be some interesting trade opportunities unlock that are specific to hero But at the end of the day, we're we're here to supplement what you as a trader know and understand and what your strategy is And I think this is a really powerful tool to add in and here you can see look this is starting to flatten out Now who's to say a big call buyers and come in right now, right? And this whole thing jumps up again But I know if the weight of this flow starts to shift and I was interested in shorting Maybe it would be an interesting place because this is telling me this pressure is starting to back off a little bit You know, uh, so Are the odds with me are the probabilities with me, you know, that's for you as a trader to figure out But here's just again a great way to To help make that decision, right? Yeah, I mean it's interesting to kind of read here due to the what you were talking about Well several times about how it flattens out And maybe it goes even slightly down, but that doesn't mean anything like that. It's a different way of reading the cumulative The options hedging has taken place So, you know, as long as more buyers come in it's just going to go up Yeah, and that's a very important distinction I mean, this is this is real-time bullish flow coming in here and the stock, you know trades higher And then this this here is kind of not much. I mean, it's a little bit bearish, right? But it's flat. So there's not big orders coming in So in a way, you can say, you know, ignore the fact that this is bullish for the moment, right? Don't forget these readings here for a moment You know, this is now flat line, right? If you run a heart monitor, you know, that would be Like bad for you and the stock does nothing and now you can see, okay Look big bullish trades just came in so you want to read the context of the market overall, right? And that can that can tell you something and this is majorly positive or majorly negative But you're also right that You have to sort of make a mental adjustment along with the The cumulative indicator to look at what's happening in real-time, right? Because in in real-time right now more bullish flow came in stock pops. So You're exactly right. This is a little bit of a nuance on what I think people are typically used to reading in a cumulative indicator Yeah, exactly. I mean people are calling like their divert divergences etc on the on their sub chart and it's like no That's you know, it's a little little different Yeah way to way to look at it or understand the story behind it That's exactly right to kind of kind of the narrative of what's happening going on. So, you know, this is certainly from a sentiment perspective You know fact that this was bearish flow to start the day like this and then shifted positive Well, that's a great sign for the stock right because okay bullish bullish options trades are coming in You know that that's Regardless of whether you know, whatever Greek you want to measure. Look, this is this is good for sentiment, right? bullish options flow and then inside of that, you know, how do I want to trade this thing? Am I looking to buy dips or sell the rips and based on that? I don't necessarily care what's happened all day You know as much as okay, look bullish options flow now we're flattening out again And we flattened out enough twice in the same price area. And so, you know, how do I want to play that? Based off of sort of just this, you know, if I was looking at just this window here, you know, oops, I get better of my little pen tool So Yeah, no, it's a great interesting stuff and Some of you know, I'm becoming more familiar of like how to how to apply sub chart and on chart Start to understand like you said the the narrative Yeah, and and being you know fully open and transparent I mean Nobody's ever had a tool like this before to watch this in real time and that that goes for for me as well So I'm learning, you know, over the last two months. We've had this. I've learned a lot I've gained a lot of insight watching this play out in real time So we're sort of learning together in some of these instances, right? but we've we've We've grown enough to know that there's a huge link between the options market and the in the stock and futures market And so, you know, this is really uncovered Or shine some light on a big part of that intraday flow So, you know, that's why it's something that I get so excited about and and hope everybody else does too Yeah, just Before you go Brent, um, can you show us the Page and maybe put the link into the chat that you Referred to for the youtube videos or the videos that you have on your site Yeah, sure. So if you go to uh to um, I'll bring it up in this other Window over here quick So if you just go to youtube.com and then I'll post in the slash spot gamma, um window here, but Here's our channel I'll post that Sorry about that But you can see that most of these videos in here, you know show the hero indicator So we're showing this in real time. We're showing this with the collaboration of our Equity hub product There's a whole bunch of videos just on hero and then really almost actually every day for the last I think two weeks we put out videos using hero indicator and our equity hub in real time to show You know, this is the flow of reading. This is the flow we're watching and you know We let it play out in real time and show everybody that so I'll put the link to that in the chat And then for everyone else I because Collin you're asking about or this has been helpful and etc So you've got Brent's content there And then you can also go we've had I don't know how many four or five now with you You know long hour long webinars or so On our on our youtube channel at bookmap. So if you want to go back and he's done various presentations on it It's going very in-depth before you even had hero on his levels and then also on hero as well So I'll put that link into the chat here for our pro trader webinars And this one as well. It'll be in the same playlist. Okay, so look for it, uh, probably in Well, probably probably the early afternoon or mid-afternoon. I will have this recorded and and and put on our youtube channel It will be in This playlist here. Hold on It'll be under the pro trader webinar series playlist and here is the link in the chat There you go This thing go on don't stop Look at that. I mean, that's just a beautiful move. I mean like it's very really intriguing idea on these pullbacks They've made a big move on options and then look for that kind of flattening and then or you know, even maybe slightly down But look at the order flow and then look for those pullbacks back up into I was looking for that 57 and then now it's already to 58. My god And looks like it wants to go to 59. No problem here Yeah, if you look at the the flow trading so far today, there are 25,000 calls of trader already so far today at the 60 strike for this upcoming expiration So there's a lot of flow options flow just going right in at that 20 at that 60 strike So it's a lot of deltas being added there It's a lot of gamma, right because as the stock goes higher the dealers got to buy more and more and more And that peaks out at 60 so So There's a lot of options. There's a lot of bullish options flow All right Anyway, I'll let everybody get back to it bruce. Thank you very much for the opportunity to come and talk to everybody I really appreciate it and Yeah, yeah, just a couple more questions. I'm sorry Oh, yeah more questions work great. Yeah. So john is asking so he heard right that this is not available yet for mac os Correct, correct. So we had special beta pricing that was available in that if you have a mac if you send an email to support at bookmap.com that will give you a A discount for the mac Basically the beta mac version that's hopefully coming out in the next week or two Okay, and then Garrett the youtube links. Well, I mean if it wasn't correct in there Just do a search on youtube for spot gamma. You'll get to it. I'll try this again here gary. See if that works A pace of the link twice that doesn't help All right, here we go. Try that out. Yeah work for me I get it All right, I just paced it in there again. So we'll see what happens here Excellent. Well, thank you very much brent Absolutely. Thanks bruce. Thanks everybody. Have a great week Bye. Bye