Markets rallied again on Tuesday, with the S&P adding .71% and is now nearly 5% off all-time highs. Asia markets closed mostly higher overnight while Europe stocks are mixed this morning. U.S. futures are pointing to a flat open, the Dollar and Oil are higher while Gold and Yields are lower.
And this is what UPB is reading this morning: https://www.optionmillionaires.com/morning-reads-288/
It was another strong session for stocks on Tuesday, with markets opening lower only to find bids the rest of the day to close in the green and near the highs of the day. Not a fan of the SPY closing above the upper Bollinger Band. Last two times it did, the market pulled back(June and Feb). Different this time? Possibly, with NFLX and TSLA earnings after the close. You already have folks making comparisons between this move and the one we saw starting at the Covid lows in 2020. And of course, everyone keeps talking about this 'lack of breadth' where the largest cap companies are responsible for most of the S&P's gains this year. Always good for the market to have some headwinds. A strong report by NFLX could spark a move to $460 on the SPY - pretty remarkable. A miss and would want to see that $450 handle hold:
Another green session for TNDM. It will need bigger moves for my calls to pay. Think eventually this tests $40 and beyond so will be looking at some later dated strikes:
FVRR rallied to $31.51 before pulling back to close up 1%. Once it breaks that $32.40 handle, should be blue skies to $35+. Will look to close some August calls out for 100% to cover costs when I get the chance, and hold the rest into earnings:
TRIP closed up 2% yesterday and right at that $18 handle. Only a matter of time before that breaks and think $20+ comes in the next week or two:
A red day for YOU and CVGW.
CVGW closed down .42% - so not too much red. A good sign considering its rally on Monday. Still think $40+ is coming soon:
YOU closed off over 3%. It has a 20%+ short interest so can be volatile. Still think this heads over $30 in the coming weeks:
IBM reports earnings after the close. I will look to take a few more of my calls off to cover costs and hold the rest into the report. They have actually reported some decent results the past few Qs but the stock can't hold its gains. One of these reports it will:
Another day, another CMG upgrade. Think $2250 can come by Friday if the market holds up. May look for some spec calls though premiums are expensive:
And still have my eyes on ULTA:
And this is what I am watching today: CMG, ULTA, SSYS, ROKU, TREE, CALX, BLK, SPOT, TNDM, YOU, Z, FVRR, GLL, GLD, ISRG, BJ, ALGN, ANET, IBM, DPZ, YEXT, AMD, LRCX, MU, NFLX, QQQ, AXSM, and SAGE.
Let's have a great day!
-JB