Replies to post #92543 on Anavex Life Sciences Corp (AVXL)

[jimmy667]

The March 7.5 vis-a-via the March 5s seem rather skewed, especially because the March options are a "fill in month" and were not open for trading that long. Seems as if traders are rolling "UP" to a higher strike as well as "OUT" to the next month. But be very careful nearly all the volume of both bid and ask are MMs who are "legally and ethically" creating liquidity in these STANDARD OPTIONS. So if you are buying them you are buying from a naked seller MM with a Chicago or Philly board seat or other exchange. AVXL options are extremely illiquid for retail and the bids and asks you see are not genuine best offer/asks, they are apparently legal "spoofs" of the MMs; as in I will sell for this to anyone stupid enough to pay this price and I will buy from anyone stupid enough to sell this low. This is in stark contrast to highly liquid widely traded Big Cap Dow and S&P 500 stock OPTIONS. This is why Fast Money and the other OPTIONS shows/sites would scoff options on these thinly traded issues. Be Careful!
Go Anavex Life Sciences!

[123tom]

ahh...thanks BR
ok, I'm starting to make sense of what youre describing.
thanks. So if price is still hanging here around 5.00-5.50 area as March gets going, the March 17 timing point wont mean anything....but IF we get a rally now and it climbs into the 7's,when March 17 comes, ...what could happen there? a resistance at 7.50 to cap it by March 17...Below 7.50? something like that?