The selloff cycles are compressing hard. August took ten sessions to unwind. Early September took four. This week took one.
Wednesday wiped 65% of the dealer cushion in a single session. By Friday it had doubled back to $895M. Full week cushion levels: $1.34B → $1.33B → $468M → $447M → $895M.
That compression is the real story, not the absolute level. Protection buyers are closing faster, sellers are arriving sooner. The market is metabolizing volatility the way it used to metabolize a bad hour.
Friday was one-directional buying. Eight of the ten busiest strikes were calls between 7,750 and 7,850. Nine of the ten largest positions now pull price toward them.
Structure below is empty — the only meaningful downside acceleration level sits 3.1% away and is small. Structure above is thick — five consecutive heavy levels from 7,775 to 7,900, with the largest at 7,800 sitting less than 1% overhead.
Calendar is empty today.
One thing to remember: six days ago the cushion was $4M. Speed cuts both ways, and last week proved it in both directions.
Range today: 7,710 to 7,800.
$SPY $QQQ
Wednesday wiped 65% of the dealer cushion in a single session. By Friday it had doubled back to $895M. Full week cushion levels: $1.34B → $1.33B → $468M → $447M → $895M.
That compression is the real story, not the absolute level. Protection buyers are closing faster, sellers are arriving sooner. The market is metabolizing volatility the way it used to metabolize a bad hour.
Friday was one-directional buying. Eight of the ten busiest strikes were calls between 7,750 and 7,850. Nine of the ten largest positions now pull price toward them.
Structure below is empty — the only meaningful downside acceleration level sits 3.1% away and is small. Structure above is thick — five consecutive heavy levels from 7,775 to 7,900, with the largest at 7,800 sitting less than 1% overhead.
Calendar is empty today.
One thing to remember: six days ago the cushion was $4M. Speed cuts both ways, and last week proved it in both directions.
Range today: 7,710 to 7,800.
$SPY $QQQ
