Replies to post #93378 on Lightwave Logic Inc (LWLG)

[spartex]

The open interest was only 540, but today's volume was 6962 contracts.

Wouldn't that require covered puts to become available (sold) by the owner of Lightwave? That would indicate bullishness to me that Lightwave will stay above $5 between now and March 18th, however the reward is only $300 per 1000 shares. But that is a 4.5% payoff if all goes well. Does the seller need a buy to allow such volume? I have no idea how order flow works for options.

[yanquitrader]

Of course, it’s also a cheap way to hedge when taking a substantial long position in an uncertain market.