There are only the last ten minutes left before the US Stocks Spot market officially opens.
Manhattan The sky has completely lit up.
The morning sun passed through the narrow gaps between the tall buildings, dyeing the entire glass curtain wall an almost cold golden color.
However, the atmosphere inside Era Vanguard Suite is completely opposite to the tranquility outside the window.
More than twenty screens are refreshed at the same time.
Price, Trading Volume, Options Chain, Implied Volatility, Delta, Gamma,
And the Order Flow data from Major Global Exchanges is like countless crazy beating nerves,
The entire Trading Room is intertwined into a huge information network.
Zhao Chen stands in front of Main Console.
No one spoke.
Everyone is waiting.
Wait for the opening bell to ring.
"Three minutes left."
Chen Mo's voice came from the encrypted communication channel.
In the background of New York Trading Desk, the sound of keyboard tapping was as dense as a heavy rain.
"SLV pre-market Trading Volume has exceeded six times its average level over the past month."
"Call Options above 29 US Dollar are being frantically scanned."
"Around 30 US Dollar Strike Price, there are already mountains of payment orders."
Lin Shicheng then added:
"Spot Silver 29.72."
"29.75."
"29.80..."
His voice became lower and lower.
It's as if the constantly beating number itself has begun to bring a sense of oppression.
Su Wantang stood beside Zhao Chen.
Although she is not directly involved in the transaction, she has gradually been able to understand the complex numbers on the screen.
"Can it really continue to rise?"
she asked softly.
Zhao Chen did not answer immediately.
His eyes fell on another screen.
What is displayed there is not the price, but the Implied Volatility curve of the Options market.
The curve has become so steep that it is almost vertical.
"Yes."
Zhao Chen finally spoke.
"Until sentiment peaks, there is no reason for prices to stop."
Shen Zhiyi turned around.
"But this rise has completely departed from Fundamentals."
"It was not Fundamentals."
Zhao Chen said lightly.
"This is liquidity."
"To be precise, it is the fluidity created by emotions."
He reached out his hand and tapped on the screen.
A huge Fund Flow curve was immediately enlarged.
A large amount of retail funds poured into SLV and related Options through brokers.
In order to maintain Delta-Neutral, Options Market Maker must constantly adjust Hedging Position.
Everyone in Trading Room already understands what this means.
Prices rise.
More Call Options enter In-the-Money Range.
Investment banks were forced to further increase hedging.
Hedge Buying Pressure continues to push prices higher.
Prices rise again.
Then form new Gamma Feedback.
A cycle that gets faster and faster.
"This is what we've been waiting for."
Zhao Chen's voice is very soft.
"Not how much Silver is worth."
"It's about what market participants are forced to do in order to manage risk."
Shen Zhiyi looked at the screen, his eyes gradually becoming serious.
"So what really drives prices now is not entirely retail investors."
"Of course."
Zhao Chen smiled.
"Retail investors are just the ones lighting the fire."
"What is really burning now is the entire Derivatives Market Hedging Mechanism."
The words just fell.
Trading Room suddenly heard a low cry.
"Open!"
The next second.
All the numbers on the screen jump simultaneously.
US Stocks is officially opened.
SLV instantly increased its volume.
Huge transaction columns rose from the ground almost at a speed visible to the naked eye.
29.82.
29.91.
29.97.
Then--
30.00.
The entire Trading Room was silent for a second.
Immediately afterwards, Chen Mo's voice suddenly increased.
"30 US Dollar!"
"The price of SLV corresponding to Silver exceeded 30 US Dollar!"
"Spot Silver is also 30!"
Su Wantang subconsciously looked at Zhao Chen.
However, Zhao Chen does nothing.
He just Jingjing looked at that price line.
30.01.
30.05.
30.12.
30.18.
The price of Silver did not fall back quickly around 30 US Dollar as many people expected.
On the contrary.
It continues upward.
30.25.
30.31.
30.40.
At the same time, SLV's Trading Volume began to experience horrific growth.
Bloomberg Terminal New numbers are constantly refreshing in the upper right corner.
Trading Volume.
Open Interest.
Options Trading Value.
Implied Volatility.
Refresh all historical intervals.
"Bills are still increasing!"
Chen Mo was almost roaring.
"Call of 30 US Dollar Strike Price was sold out like crazy!"
"Someone is eating it and selling it directly!"
Lin Shicheng answered the call quickly:
"New York Trading Desk confirms that all positions of Era Vanguard Six SPVs will be transferred to Deep In the Money!"
"Current Unrealized Paper Profit..."
He paused.
The numbers appear to be being reconfirmed.
"Exceeds Two Hundred Million US Dollar!"
Su Wantang's eyes moved.
She looked at Zhao Chen.
"So fast?"
Zhao Chen did not answer.
Instead, his eyes fell on another screen.
That is a Implied Volatility curve from the world's major Options markets.
The curve continues to rise.
This time, Zhao Chen finally showed a faint smile.
Not excited.
It's the kind of calm a hunter feels after seeing his prey finally walk into the trap.
"Not enough."
Shen Zhiyi was slightly startled.
"Not enough?"
"Not nearly enough."
Zhao Chen raises his hand and points to Options Chain near 30 US Dollar.
"The real drama begins now."
"Why?"
"Because 30 US Dollar is not an ordinary price."
He paused.
"It's Psychological Threshold, and it's also the key Strike Price set up by a large number of Options traders."
Shen Zhiyi quickly calls up Model.
The next second, her pupils shrank slightly.
"Gamma Exposure..."
"Start concentrating?"
"Yes."
Zhao Chen nodded.
"If it continues to rise, Market Maker must continue to buy Hedging Assets in order to control the delta risk."
"And the more they buy, the higher the price goes."
"The higher the price, the more Options will enter the real value."
Shen Zhiyi finally understood.
"Self-Reinforcement."
"Accurate."
Zhao Chen said softly:
"This is Gamma Squeeze."
At this moment, the voice of Lin Shicheng came from Trading Room again.
"Zhao Zong!"
"Silver 30.5 US Dollar!"
"30.6!"
"30.7!"
The numbers are jumping like crazy.
News Terminal also started popping up alerts continuously.
SILVER SURGES ABOVE $30.
SLV VOLUME HITS RECORD.
RETAIL TRADERS TARGET SILVER.
In the CNBC live broadcast, the host's speaking speed increased significantly.
Several Wall Street analysts who just tried to cool down the market have now begun to re-explain the reasons for the rise.
"We must emphasize that this does not represent a fundamental change in Silver Fundamentals."
"The current rise is driven more by speculative funds."
"Investors should remain cautious..."
However, these words have hardly stopped the market.
Even quite the opposite.
Every warning was spread by screenshots of traders on WallStreetBets Forum.
"They're starting to get scared again."
"30 US Dollar is just the starting point."
"Silver Crusade starts!"
The popularity of the forum soared again.
Zhao Chen glanced at it and raised the corners of his mouth slightly.
"Did you see that?"
"They are no longer discussing Silver."
Su Wantang asked:
"Then what were they discussing?"
"Victory."
Zhao Chen answered.
"When trading changes from making money to belief, risk begins to lose its meaning."
He glanced at the time.
Less than twenty minutes have passed since the opening.
However, Silver has rushed all the way from near 29 US Dollar to above 30 US Dollar.
Unrealized Paper Profit of Era Vanguard is still expanding rapidly.
Lin Shicheng reports again:
"Zhao Zong, the current theoretical value of the Options combination has exceeded 300 million US Dollar."
"Some buyers of the Deep In the Money contract began to actively raise prices."
"If this continues..."
"No ifs."
Zhao Chen interrupted him.
"Keep watching the market."
"Don't take the initiative to change positions."
"Understood."
The communication channel became quiet again.
But everyone knows it.
The truly dangerous moment is getting closer and closer.
Zhao Chen looked at the K line that was still extending upward.
30.82.
30.91.
31.00...
Price paused briefly near 31 US Dollar.
For the first time there was an apparent scramble for Bulls and Bears.
Huge sell orders began to press down from above the market.
Some funds that had been chasing the rise began to take profits.
At the same time, some Quantitative Model began to recalculate volatility and Risk Exposure.
Zhao Chen's eyes finally became sharp.
He knows.
The first cracks are beginning to appear in the market.
Not Too Big to Fail.
But the first breath in Euphoria.
This means that Market Maker has begun to reorganize its defense line.
It also means that real large-scale hedging funds will soon enter.
Zhao Chen picked up the teacup on the table.
The tea has gone cold.
But he didn't drink.
Just looking at the dazzling number on the screen.
31.03 US Dollar.
Then he spoke slowly:
"Record this moment."
Shen Zhiyi looked at him.
"Record what?"
"The time when Silver breaks through 30 US Dollar."
Zhao Chen's voice is calm.
"This is the true high-speed stage of this emotional carnival."
He paused.
"But it could also be the final madness."
Shen Zhiyi said no more.
She silently opened Compliance Recording System.
Time, price, Trading Volume, Options exposure, SPV positions, trading instructions.
Each item is fully recorded.
At this time, Zhao Chen finally lowered his head and glanced at his watch.
9:52 am.
It's less than ten minutes before US Stocks opens.
And on another screen.
Silver price has shot up again.
31.18 US Dollar.
Throughout Trading Room, everyone held their breath.
Zhao Chen just leaned gently on the back of the chair.
Because he knows better than anyone else--
When the market is at its craziest, it is never the safest.
Quite the opposite.
When everyone begins to believe that prices will continue to rise,
The real reaper finally has the best exit window.
And this Silver carnival, which lasted for less than a day, is quietly approaching its most dangerous critical point.
30 US Dollar has been stepped on.
The real peak is approaching.