Markets closed higher to start the week, with the S&P adding .22% and closing at all-time highs for the second session in a row. Asia markets finished mostly higher overnight while Europe indexes are in the red this morning albeit off the lows. U.S. futures are pointing to a slightly higher open, the Dollar and Oil are lower while Yields and Gold are higher.
Here is my rant from yesterday if you missed it: https://www.optionmillionaires.com/jb-afternoon-rant-january-22nd-2024/
It was a bumpy session on Monday with stocks opening higher, testing lows at 1:30, before finding a bid to close in the green for the 3rd session in a row. Today will be the first big test with NFLX earnings after the close. I think they will report another strong Q, but would have to be a massive beat and raise for the stock to move more than the 8% implied move. The upper-bollinger band is $482.61 so maybe some more chop here today and tomorrow before the possible move to $490:
As outlined on the watchlist, I added some ROKU calls as a sympathy trade into NFLX earnings. The stock ramped out of the gate testing the $91s in the morning before slowly(and painfully) melting lower the rest of the day. My calls were up near 100% and I almost was able to close some out to cover costs before the reversal. Once it traded near $89, I closed the calls out for a small profit as the stock seemed to be languishing even when the market would bounce. May revisit today but with some Feb 9th strikes as a speculative trade into NFLX earnings after the bell:
FVRR rallied over 9% yesterday with no true catalyst to speak of. My Feb calls are nearly a double now and will look to take some off today to cover costs. Think $30+ coming this week and then maybe $34 test in the coming weeks:
Another rough session for BIDU, closing off 2% as the China market continued to struggle. Overnight reports are out that China is looking at a $278 billion rescue package for the stock market to help get it bid. BIDU and the China ADR's are gapping this morning. Reports are also out this morning that Jack Ma has also been buying up shares of BABA. Would think this could be the start of a nice move for BIDU above $110 and beyond. May look to nibble more spec calls if BIDU breaks $150 today:
Looks like the 6th time was the charm for VKTX as it closed over $22 for the first time since June 15th:
https://x.com/OMillionaires/status/1749539736300257789?s=20
The stock is trading in the $23s in the pre-market. If it can hold the gains today, think that $25 handle is coming very soon. Will finally look to add more strikes today:
MASI is still stuck at its 200dma. Once that breaks, the $130s should come quickly - hopefully today:
AGYS reported earnings after the close yesterday that bested estimates. They kept FY'24 revenue guidance the same but raised their EPS guidance. The stock is flat in the pre-market. Think $90+ today and $95+ in the coming days. Will continue to look for possible calls if the spreads tightened up:
And lastly, still have my eyes on BURL as well which closed flat as a pancake yesterday:
And here is what I am watching today: ROKU, BURL, AGYS, VKTX, FVRR, YOU, TRIP, STAA, W, YOU, ALT, SPOT, NFLX, TWLO, ISRG, MASI, GPCR, STAA, FVRR, ROKU, SPOT, BIIB, GILD, AMLX, RDFN, ALGN, Z, AI, TRUP, ULTA, RBLX, TGT, AVAV, EXAS, AAPL SQ, LRCX, LULU, LLY, and NVO.
Let's have a great day!
-JB