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huge delta divergences in CL and GC


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  #1 (permalink)
dvrkbxy
Saint Joseph
 
Posts: 12 since Nov 2018
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Hi all..

Did anyone see those massive divergences in delta in CL and GC today? CL dropped big today but the delta went sky high while price stood still for a long time. It eventually churned up with delta still massive to the upside. The exact opposite happened in GC, with delta diverging from price to the downside massively. This was particularly noticeable in GC, and after the pit session close it continued to nose dive. It was truly bizarre and I just haven't seen this before, so I'm trying to figure out what was going on there. It seems odd how it simultaneously happened to the most prominent commodities which are linked to the dollar. I though it might have something to do with spreads or options but still seems odd.. I'm writing this on 10/1 and I feel like this might have something to do with it being the first of the month..


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  #2 (permalink)
anycolour
Denver, Colorado
 
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Please help me understand what you're saying. I thought delta, etc. was only used for options?

So what happened?

CL dropped big on 10/1? But CL delta went sky high? (delta for its future options?)


Please help me understand! (include chart/screenshots if possible) Thank you!


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  #3 (permalink)
 tr8er 
Europe
 
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anycolour View Post
Please help me understand what you're saying. I thought delta, etc. was only used for options?

So what happened?

CL dropped big on 10/1? But CL delta went sky high? (delta for its future options?)


Please help me understand! (include chart/screenshots if possible) Thank you!

He is talking about volume-delta (agressive buyers (at ask) - agressive sellers (at bid)


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Last Updated on October 18, 2020


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