Do you want to know what max pain is? Would you like to learn how max pain predicts the future price of a stock? Please watch the video. In less than 4 minutes the video explains how max pain can be used to predict the stock price. Is it magic? No, it based on the fact that a market maker who wrote option contracts created hedge position in the stock to remain neutral. As expiration approaches, the hedge must be adjusted. This adjustment, or rebalancing provides pressure on the stock ptice.
For more information, please watch the video or visit maximum-pain.com.