Option market makers, or dealers, who take the other side of the whale’s trade need to constantly adjust their exposure as their risk vacillates with the underlying market’s moves.

That’s because of how options work. A market maker can’t simply hedge an option trade with an underlying stock hedge – and lock in profits – like they can for ETFs.

However, the market makers are not pricing in the probabilities associated with the 6-4-U market breadth sequence. Basically, the actual probability of profit arguably should be higher but it’s not.

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Option market makers, or dealers, who take the other side of the whale's trade need to constantly adjust their exposure as their risk vacillates with the underlying market's moves.