AJ, at times i think it does. I have noticed at times if the share price for eg was 3.64 and the 3.50 call strike price had the most open interest the share price would move back down around that stike price a few days/week before expiry and the opposite of the above for put options. Thus giving them (the big boys) a chance to buy it back cheap or let it expire worthless. On the day of expiration and the day after volume usally increases. If there is a heap of contracts excerised today, there will be some huge volume at the start of trade tomorrow. On these days i don't like to trade shares as i feel that these times gives a false direction of the share. Hope this is of some help to you. Of course this is just my veiw. Perhaps others could comment on this.
Cheers
PP
OXR
oxiana limited
