Markets rallied on Monday with the S&P adding 1.02%. Asia stocks finished higher overnight while Europe indexes are in the green this morning although off their highs. U.S. futures are pointing to a higher open, the Dollar and Oil are lower while Yields and Gold are higher.
And here is the last rant if you missed: https://www.optionmillionaires.com/afternoon-rant-4-13-26/
Markets opened in the red yesterday, after US/Iran peace talks failed and after Trump announced a blockade on Iranian ports. Stocks melted higher after the open and never looked back, rallying into the green and continuing to pad gains with the S&P ending the day up 1%. Who had that on their Bingo card from Sunday? Take a look at this move:
The Nasdaq was up over 1.2% and in the green for its 9th straight session, its longest since 2023. All in the face of some pretty remarkable headwinds. Imagine being short heading into the weekend, you get the pretty much the best possible news you could want, that no deal was reached. Markets open lower, you start counting your profits, and then you get squashed. Not saying you can't make money being short, just shows how hard it is.
I was saying it on the rant yesterday, that it was almost like the market was getting more 'immune' to what is going on in the Middle East and starting to put its focus back here - I sincerely hope so.
The SPY closed right at $686, ironically enough my support/resistance line. Likely a bit more chop here today with $688 or so likely being a magnet... and by no means are we out of the woods yet. One headline can change everything(unfortunately):
I finally added HIMS calls, with the stock showing life off the bottom and poised to breakout over its 50dma. The stock seemed to stall after I added the calls and then found sellers. I didn't want to lose much on the trade so closed the calls out. Sure enough HIMS went on a rally shortly thereafter and the calls were up over 200%. Frustrating but can't fault sticking to the plan. Still have my eyes on HIMS and may look for further out strikes today:
I am back in LMND calls. The stock showed some signs of finally reversing. Sure looks like $61.88 is coming. Will look to lock some of the calls in at the open and ride the rest. Hopefully some DeJaVu from last time I entered LMND calls in March:
AMZN took a small breather yesterday. $250+ is coming this week. I may look to add some lower strikes today:
I was watching ALMU after the open yesterday for a possible entry but it is tough to find decent risk/reward strikes when it only has $2.5 increments. Will be watching again today. May look at $17.50s and/or some May calls if it shows signs of getting FOMO like AAOI:
SMCI is one of the stocks I could never really get convicted on. Always seems like there was a negative stigma associated with it... they have been victim of some short pieces over the years. This one from Hindenburg : https://hindenburgresearch.com/smci/ And most recently some press in regards to illegally diverting products to China. You remove the black cloud and the stock should be $75-100.
You also have CRWV which is likely their one big customer. Have to think the stock rallies despite itself as almost like an 'Only game in town' play. I hope it doesn't gap too much at the open as I will be getting call this morning for a move to $30+:
And of course still eyeing RDDT and RBLX.
And last, but not least, one headline can change everything so important to be aware.
And here is what I am watching today: SMCI, HIMS, ALMU, GLW, AAOI, LMND. RDDT, RBLX, SHOP, RDDT, RBLX, GLW, KODK, CRBP, ANET, AVGO, INTU, ADBE, APP, WING, LRCX , ASML,ORCL, U, TTD, GLW, AAOI, TSLA, ALMU, VKTX, RH, ROKU, RBLX, SEDG, KODK, NKLR, SEDG, AAOI, DUOL, GLW, ALGN, ISRG, LMND, CF, NTR, IPI. SERV, SHOP, ANET, HTFL, ROKU, POOL. V, MA, ZM, WING, SHOP, SQQQ, MRNA, DUST, FLWS, COCO, COIN, KODK, and SQQQ.
Let's have a great day!
-JB