Markets fell on Wednesday, giving back most of the Powell induced gains from Tuesday, with the S&P closing down over 1%. Asia markets closed mostly higher overnight while Europe indexes are rallying this morning. Futures are pointing to a higher open, the Dollar, Yields, and Oil are lower while Gold is higher
And this is what UPB is reading this morning: https://www.optionmillionaires.com/morning-reads-196/
Stocks gapped lower at the open yesterday and failed to find any meaningful bid after Powell's somewhat dovish comments on Tuesday. This morning markets are set to recoup the losses. It's amazing how sentiment shifts so quickly these days, with the bears using every red session to say we told you so. The SPY held that $410 handle and looks like key support if sellers come in. Still think $420+ coming first:
I added some TRIP calls yesterday. I have always loved the name, but the company has never executed on their 'best in sector' traffic. They report earnings next week so think there is an opportunity to play calls for premium build and hold some into their report. A beat and this is $30+:
I also added some APP lotto calls near the end of the day for their earnings. The company missed and issued lower guidance after the close and it is being punished this morning. Hard to see this bounce today and will likely take off my watchlist.
AYX closed in the green again on Wednesday and I was able to close some of my calls out for for over 100%. They report earnings after the close. I may look to take a few more calls off then ride the rest into the report. A beat and raise and the stock will trade north of $70:
VKTX reported earnings after the close yesterday that came mostly inline, but the earnings are not as important as their updates on its pipeline, which seemed to be above expectations. Still love the name here and may look to add some later dated strikes to pay for a move into the mid-teens in the coming weeks:
Still love YEXT and VERI here and may look to re-enter AI if it holds $26 or so today:
And lastly, CMG reported a somewhat disappointing quarter yesterday and the stock closed down nearly 5%. I think the numbers were not as bad as folks are painting it out to be. I may look for some speculative calls today and/or into next week:
And here is what I am watching today: CMG, AYX, APPS, VERI, AI, YEXT, RBLX, ROKU, GILD, CDLX, SAM, IBM, SQ, ZYME, ICPT, SPOT, U, MASI, ROKU, NFLX, ALGN, GNRC, VKTX, UDMY, RARE, and SAGE.
Let's have a great day!
-JB