Markets closed mixed on Wednesday, with the S&P and Nasdaq closing slightly higher while the DOW closed in the red. Asia markets closed mixed overnight while Europe indexes are trading lower this morning. U.S. futures are pointing to a mixed 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-213/
Markets treaded water for most of the session on Wednesday, in an almost boring session. The SPY closed back over the 50dma, so a good sign there, but will need some continuation today. Weekly jobless claims came in higher than expected this morning. Bad news is good news for markets for now... futures pared loses on the news. Would like to see the SPY work towards the $400 handle today and tomorrow:
YEXT reversed the morning gap lower, trading up over 10%. I used the morning dip to add some more calls and closed some of the strikes out for 400%. Still holding March, April, and May calls and think the stock will trade into the teens soon. It is a great story, in the right sector, and a nice valuation. 19% of its market cap is cash:
I also added SAGE calls yesterday. The company announced there will be no AdCom for their depression therapy... pretty much means they will get approval. As I have mentioned the past year or so, BIIB has a stake in SAGE and there are billions in milestone payments that would need to be made. Not sure why BIIB has not just acquired SAGE... either way, will look to close some of my calls out to cover costs and may look for some later dated strikes today:
VKTX is setting up for the next leg. Think $15+ is in the cards in the coming weeks:
CMG staged a late session surge to close right at the key $1534 handle:
If that breaks, think $1600 comes quick. May look to add some more calls if it finds a bid today.
ULTA reports earnings after the bell. Have been eyeing some calls but premiums are high. Will likely wait until tomorrow.
Still holding quite a few positions so will likely be less aggressive today.
And this is what I am watching today: :SAGE, YEXT, ULTA, MASI, CMG, ICPT, YEXT, AI, ULTA, YOU, DKNG, EXAS, U, SMG, TWLO, TRIP, RBLX, SPOT, NFLX, AYX. CMG, ROKU, GILD, CDLX, SAM, IBM, SQ, ZYME, ICPT, ALGN, and GNRC.
Let's have a great day!
-JB