Futures are pointing to a slightly lower open to start the week, with S&P futures down .09% as I write this. Asia markets closed mostly lower overnight while Europe indexes are all in the red this morning. The Dollar, Oil. Yields, and Gold are all lower.
And this is what UPB is reading this morning: https://www.optionmillionaires.com/morning-reads-286/
Last week was a strong one for markets, with the S&P adding 2.4% although, it ended the week with a lackluster session. Inflation data came in cooler than expected and JPM earnings showed the U.S. economy still seems to be strong, This week the earnings season heats up, while we also get retail sales numbers and housing data on Tuesday. Here are the implied moves for companies reporting this week:
NFLX and TSLA will be the most watched. Another strong Q from NFLX will likely set the stage for more beats and raises in the tech sector. I am cautiously optimistic and think there will be plenty of opportunities to play some names for upside. More on that later this week. The SPY traded up to $451.36 on Friday before pulling back to close right under the upper Bollinger band at $449.28. Some churn here will bode well for some more gains in the coming weeks:
CALX reports earnings Wednesday. I closed the last of my calls out on Thursday. If the stock shows signs of strength today, may look at some spec calls or possible some August strikes for a move over $60 post-earnings:
FVRR gave back some of its Thursday gains, closing down over 3% on Friday. Hopefully it can resume its uptrend today, but if there is weakness, would want to see that 50dma hold at $27.56:
TREE also gave back most its gains from last Wednesday and Thursday. Still hopefully here but will need a strong rally this week. and reclaim that 200dma at $25.51. May actually look at some August strikes today if it can hold green:
Still holding some Aug IBM calls. I locked some in already to help cover costs and may look to hold some into earnings Wednesday. Hopefully will get a chance before then to lock a few more in to ride 100% free. Think any inline numbers and decent guidance and it trades north of $140:
SSYS announced this morning they were going to be in discussion with DDD around their most recent buyout offer of $24.05. Hard to think they accept that number - if anything it will lead to another higher offer around $27 or so. Tough to trade right now but may look at some Aug $25 calls if the premiums come down:
Still love ROKU here as a sympathy play into NFLX earnings Wednesday. The strike in Hollywood will not stop folks from consuming content. Think any upside from NFLX and ROKU trades into the $80s and maybe higher. May look to add some later strikes on this one as well if it holds $75 or so today:
ULTA setting up here for a move to $490+ this week. May look at some spec calls:
And here is what I am watching today: ULTA, SSYS, ROKU, TREE, CALX, BLK, SPOT, TNDM, YOU, Z, FVRR, GLL, GLD, ISRG, BJ, ALGN, ANET, IBM, CMG, DPZ, YEXT, AMD, LRCX, MU, NFLX, QQQ, AXSM, and SAGE.
Let's have a great day!
-JB