Markets closed lower to start the holiday shortened trading week, with the S&P closing down .42%. Asia markets closed mostly higher overnight while Europe indexes are in the red this morning. U.S. futures are pointing to a lower open while the Dollar, Yields, Oil, and Gold are all in the red.
And this is what UPB is reading this morning: https://www.optionmillionaires.com/morning-reads-316/
It was a somewhat boring session on Tuesday, with the S&P chopping around in an extremely tight session and failing to find enough buyers to reverse into the green. This morning it looks like we are setting up for another similar session. Maybe another day or two of chop and the SPY cans work its way back into the mid-$450s. Would want to see that $446 handle hold on any weakness:
ROKU raised their revenue guidance for Q3 this morning and also announced some headcount reductions:
Pretty remarkable that they are able to raise guidance after just besting estimates and raising guidance a month ago. A great sign IMHO and likely means their numbers are still conservative. The stock is gapping over $90 this morning and my Sept $90 calls will likely be 8X+ bags at the open. I also added some October strikes yesterday morning. Would think those are up 400%+. I will look to close some more of my Sept calls out and some of the Oct strikes and hold the rest as long as ROKU holds that $90 handle. Think $95+ can come soon and possibly $100 breaks in the coming weeks:
I also added more IIPR calls yesterday. Think IIPR is one of the names that will truly benefit from the HHS news. Should start resuming the uptrend today with a break into the $90s and beyond soon:
It was a great session for TLRY, closing up 3%. But it would have been an even better session if it could have held the $3.20s or even $3.30s. In the morning the stock hit levels not seen since Jan. Think $5+ is coming sooner rather than later:
BIDU closed off 2% yesterday after more negative China data. Chalk some of it up to some churn after its recent rally. Only a matter of time before this taps and breaks $160:
YEXT closed flat as a pancake yesterday - not good for option premiums. May look to add some spec calls into earnings after the close:
VKTX announced their Phase 2 VENTURE study this morning and also confirmed data from their phase 1 oral study of their VK2735 will be out in the 4th Q. Will be patient adding anything more here but do think $16+ is next:
WW rallied in the afternoon to $10 after some call volume hit the tape. Tight Bollinger bands are setting up. Like a ticking time bomb here:
And lastly, still have my eyes on AI but will wait until tomorrow.
And this is what I am watching today: YEXT, VKTX, IIPR, AI, BIDU, WW, ROKU. LULU, U, GNRC, VKTX, ULTA, ISRG, GLD, GLL, LRCX, NVDA, ALGN, CMG, QQQ, SPOT, TEAM, BLK, IBM, and NFLX.
Let's have a great day!
-JB