Stocks fell on Wednesday, with the S&P dropping 1.65%. Asia markets closed mixed overnight while Europe indexes are in the red this morning. U.S. futures are pointing to a higher open, the Dollar and Oil are lower while Yields and Gold are higher.
And this is what UPB is reading this morning: https://www.optionmillionaires.com/morning-reads-223/
Stock chopped around for most of the session on Wednesday before the 2pm hour when the Fed announced they are raising rates another .25%. Stocks found a bid into the Powell presser but then fell for the rest of the session. Most of the move is blamed on Yellen's comments, saying insurance for all bank deposits is not being discussed. If you listened to the Powell press conference, it didn't instill any confidences that they knew any bank failures were coming... not very reassuring. He also painted a picture of no rate cuts coming in 2023. Will be interesting to see how that plays out. The SPY failed again to close back over that 50dma. A victory today would be some bidders coming in and the 200dma holding:
I used the bounce in the afternoon to close some of my BLK calls to cover costs. Still hopeful for a move past $680 into tomorrow. If it can't hold $650 today, will look to close the last of my calls and re-visit:
Hindenburg Research came out with a short piece on SQ this morning. He is one of the few short folks I respect and does great work. Unfortunately this will not be a good thing for my calls. Not sure I will revisit this name anytime soon:
ROKU came up and tested the $66s before pulling back in the afternoon with the rest of the market. Still think $70+ comes soon. Won't add anything today but may look to add some strikes tomorrow:
Still have my eyes on MASI and CMG if there markets can hold gains today:
CMG:
And lastly, SPOT could be a nice lotto for a move over $135. May look to add some spec calls:
And this is what I am watching today: SPOT, BLK, SQ, MASI, NFLX, CMG, MDGL, SAGE, ULTA, ICPT, AI, YOU, DKNG, EXAS, U, SMG, TWLO, TRIP, RBLX, SPOT, AYX, GILD, and CDLX.
Let's have a great day!
-JB