Opposite George Week: Expect The Unexpected

One of the most popular features of our service is our Monthly Max Pain report and related research.

It's become so popular, in fact, that we launched a separate service for it this past weekend. If you didn't see it or haven't signed up, you might want to consider it as it's extremely affordable. We have two stocks on our February list that have over $1 billion of net in-the-money call premium after the huge runup in prices that we saw during January and into early February. That is a TON of money sitting on the table for market makers. One of those two stocks is Meta Platforms (META) and it's already dropping to wipe out February monthly call options:

Enter Meta Platforms, Inc. (META):

META opened at 183.38 after its earnings report and eventually traded as high as 197.16. But ALWAYS beware options expiration. There's still a week to go until options expiration Friday (February 17th), but I believe the manipulation by market makers has begun. At Friday's close of 174.15, META had already fallen more than 11% from its recent high and there's still another 13 bucks or so to the downside before the 20-day EMA is tested. While I wouldn't expect max pain of 131 to be reached, it does suggest to us that the likely direction this week will be down on META shares.

There's one stock that has nearly $1.4 billion in net in-the-money call premium, almost $200,000 more than META. It just started to turn lower on Friday and could have a big drop ahead. Be sure to check out our new service and get this stock, META and 140 others!

Happy Trading! Tom Bowley Chief Market Strategist EarningsBeats.com Better Timing. Better Trades.