Extreme bullish options positioning and short covering in the Nasdaq-100 signals capitulation by bears and peak optimism in the market

"For the Nasdaq-100 index, a rush to cover shorts and buy upside call options pushed one measure of bullish activity to rare extremes even by this decade's standards. The price of one-standard-deviation out-of-the-money QQQ calls increased by 42% Tuesday, the biggest single-day change in volatility pricing for those contracts in five years and the ninth biggest shift in a decade."