Thread by @perfiliev

Looking at $TSLA's call options, the largest near-term OI sits at 5 Nov expiry $1,200 and $1,300 strikes.

The 1,200 strike has been one of the most traded options this week.

If $TSLA stays >$1,200, that option's delta has to get to 1 by EOD tomorrow.

Currently delta is ~0.79.

OI is 25,686.

Assuming market markets are short that strike, they need to buy 0.21 of delta to hedge:

0.21 * 100 * $1,230 * 25,686 = $663,469,380 of $TSLA stock.

Which is $663,469,380 / $1,230 = 539,406 shares.

This is insignificant, compared to ~25 mil shares traded today.

This will be further offset by OTM call strikes whose deltas will -> 0 tomorrow.

Unwinding OTM call hedges will force dealers to sell $TSLA shares.

So the current setup doesn't look particularly great for another gamma squeeze leg higher...

Moreover, if $TSLA slips < $1,200 tomorrow, then 1200 strike will get OTM, leading to an unwind of 0.79 delta (equivalent to a sale of ~2mil shares)

So from the options perspective, unless there's more institutional or YOLO call buying, the upside looks limited...