RE: Huge Volume in the 22.50 July Puts...Great observations and great discussions everyone. This ties in well with Jim Sinclar's June 30 commentary.
If I was going to initiate a sudden severe short selling avalanche to shake the tree harder than ever before in an attempt to dump the G share price, I would first buy a vast amount of puts which will suddenly and significantly rise in value as panic leads and investors dump their positions.
If this mock scenario even closely resembles reality, look for the Puts to be covered abruptly at the tentative bottom of the share price plunge, probably around $20. IMO and before expiry. Also, watch for a massive position in Calls to be taken up, which the aggressive investor will piggy back if this scenario is the one that unfolds.
As Sinclair recommends, the smart choice is to have confidence, do nothing, sell nothing and watch the shorts get hysterical and do funny things to themselves.
I will be watching for and consider any significant dips as summertime buying opportunities.
Keep in mind that this large Puts position is focused on G, so it is unlikely to reflect a widespread market phenomenon by a group of analysts. We do not see this happening for Barrick, Kinross, Meridian and others, etc IMO.
Enjoy the ride.
GLTA