laren
41 posts





$SPY $SPX How I Read Normalized GEX on @unusual_whales 💡 Think of Net GEX like a magnet for a stock. (Not always) Now Net GEX shows the hedger “strength,” but stocks aren’t all the same size in total number of shares Normalized GEX divides that strength by total shares, showing how much said hedging “strength” actually matters when compared to total shares. (Percentage effect) High percentage positive normalized GEX = strong magnet, price tends to move toward that strike strongly. Low percentage positive normalized GEX= weak magnet, price drifts more and may gradually move towards said magnet. High Percentage negative normalized GEX= repeller, price gets pushed away, sometimes violently. Low Percentage Negative Normalized GEX=weak magnet, price drifts more and may gradualy move towards said magnet Normalization matters because a huge net GEX in a tiny stock might barely move it. Normalized GEX lets you compare hedging relative to shares and see how strong said hedging is compared to total amount of shares. In short: positive = strong pull, negative = strong push, and the bigger the normalized GEX, the stronger the effect. Note: Positive Gamma supports liquidity Negative Gamma reduces Liquidity Here’s my illustration, enjoy



The stock market did not like that speech but I think we will likely see a GREEN day tomorrow. 👀






























