Markets closed mostly higher on Thursday, with the S&P adding .88% on strong NVDA earnings and guidance. Asia markets closed mixed overnight while Europe indexes are mostly in the green. U.S. futures are pointing to a higher open, the Dollar and Yields are lower while Oil and Gold are higher.
Markets rallied yesterday after Nvidia's earnings shook the chip/AI/Cloud space - in a good way. Finally a sign that maybe we are getting back to a return-to-growth cycle. Despite yesterdays rally, markets are still lower on the week. This morning, PCE data came in somewhat inline, continuing the trend that is showing the inflation story is taking a back seat. Have to think the Fed will now pause rate hikes with the possibility of rate cuts in the fall. Would have loved to see that $420 handle into the weekend on the SPY but looks like I will have to settle for $415. That $415 area was strong resistance yesterday, so a good sign if we can break and close above that today. Don't forget, markets are closed Monday:
I was able to lock most of my ULTA calls in to cover costs and some profit and held a few into earnings yesterday. The company beat and raised after the close but looks like the market wanted more and the stock is tumbling. Surprising to me considering the stock has already seen a huge drop in May. Likely will take it off the watchlist for now:
I added some GLD weekly puts yesterday as outlined on the watchlist. Think once that $1950 handle breaks, the $1910s will come quick. I was able to lock some of the puts in yesterday to cover some costs. Will need a reversal today for the rest of my puts to pay. May look at some strikes into next week if Gold nears that $1950 handle today:
I added some ANET calls yesterday. The stock was rallying in sympathy with NVDA as increased cloud/chip spending bodes well for ANET. Think this trades into the $170s in the coming days. Will look to close some calls out to cover costs, when I get the chance, and hold the rest for that possible move:
Another rough session for VKTX, closing off over 4%. I will be looking to add some August calls today, likely the $30s. With no catalysts to speak of in the near future, it is easy for shorts to come in and pressure the stock. If it trades down today, would want to see it at least hold $20:
TERN also closed down 4% but off its lows. Would want to see it reclaim that 50dma into the weekend:
Still holding a few freebie OLED June calls. Surprised the stock did not rally more yesterday. Think once it breaks that $150 handle, $160s should come quick. I may actually look at more strikes today:
DPZ looks to have consolidated and maybe ready for a move higher. May look for some calls to play for a move over $320 in the next week or two if it finds strength today:
Still waiting on WING. Rough session yesterday, closing off over 2%. If it can find buyers today may look to add some calls for that eventual move back over $220 and then to all-time highs:
May also ook at some spec lotto's today in AMD, LRCX, MU, and NFLX.
And this is what I am watching today: DPZ, OLED, VKTX, WING, GLD, AMD, LRCX, MU, NFLX, GLD, GLL, ULTA, TERN, QQQ, ULTA, WIX, ZYME, SPOT, AXSM, SAGE, RARE, SRPT, BLK, EXAS, W, SHW, ABBV, and ALGN.
Let's have a great day!
-JB