1/23 Recap

We got big news out of China overnight that Stimulus was on the table to save stocks. Nearly $300B worth. Will that be enough? Probably not, but it’s a big first step in that the Chinese Government has never seemed to care about stocks like ours. Our Government is the complete opposite in that we have to keep stocks elevated to boost morale or the people will riot in the streets. Look back to covid, the first thing we did was stabilize stocks before figuring out what was going on with the virus. You think I’m kidding, but that is the reality of why I always joke about stocks being designed to go up. There will be blips, but they will always save the S&P. China seems to finally be seeing the light in regards to utilizing this playbook. This could be a very large turning point for Chinese equities which have lagged for so long.

The SPY did nothing today, literally. I mentioned that in yesterday’s recap as a high probability. The SPY never seems to pull too far away from the 8 ema for long, we’re still about 1.5% away from them converging. This afternoon we have Netflix reporting earnings, that will certainly read through to so many names. So we will have to see what comes of that. I know people don’t think it means much, but knowing if Netflix gained subscribers, how the advertising is going for them, etc is our first datapoint to look through for other tech businesses.

The dollar is breaking out to nearly 104 which is not what stock bulls want to see. Bulls need to see a reversal somewhere here soon or this breakout in the dollar could gain steam and ruin alot of the bullish scenarios everyone is painting.

Recent Trades

In the 1/9 Recap I highlighted MNDY and it is up alot since, another 5% today to $212.40 as I type this. That day there was a very large buy of $210 calls for June and those just went in the money 2 weeks later. Beautiful trade.

Another name I’ve highlighted a couple times recently was EDR. I made it a best idea a couple months back and it’s nearing a 20% gain since with today’s big move up over $26 at the open on the news of the WWE deal with Netflix. That wasn’t even on my radar, I was just thinking about the potential takeover and it’s been a pleasant surprise since but they have been adding calls to that in huge size for months.

Trends

As always please keep in mind I add trades even after I send this out, so the best way to see the up to date trends is to check the database in the link below, later in the afternoon/evening and get the rest of the days unusual options and trends as I add them.

1 Week

2 Week

YTD

Today’s Database Link

Here is today’s link to the database, as always, it expires tomorrow morning at the market open for non live subscribers.