Topics covered:
1) 0:00 Announcements
2) 0:45 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 12:50 Stock Review – Mega Caps: AMZN, MSFT, AAPL, TSLA, SHOP, QQQ (ETF)
4) 16:00 Stock Review – Software: CRWD, ZS, OKTA, DOCU, FSLY, NET, DDOG, TWLO, APPN
5) 19:20 Stock Review – Semiconductors: AMD, NVDA, AEIS, BRKS, FORM, LSCC, TSEM, LITE, SMH (ETF)
6) 23:00 Stock Review – Medical Products/Biotech: FATE, NKTX, GMDA, NVTA, SWAV, NVCR, INMD, ACAD
7) 28:40 Stock Review – General Ideas/Commentary: HYRE, FND, LAD
8) 30:20 Current Setups – AMD, AEIS, INMD
9) 34:25 Conclusion/Summary

Market Summary:
The “Santa Claus Rally” consists of the final five trading days of the year and lasts until the second trading day of the new year. The average gains over this seven-day range since 1969 are a respectable +1.3%. Please keep in mind that just because it is seasonally and traditionally a strong time of the year, nothing is automatic and you still have to manage risk. I am expecting continued strength this week with shallow pullbacks. If we see this strength, I plan to reduce my exposure from approximately 85% invested down to 70%. In the beginning of this video, I explain the reasoning behind my investment levels. As always, the decisions you make should be based on your own timeframe and investment objectives.

One positive is that the S&P 500 has gone sideways since December 4th and a few sentiment measures have cooled off. Many are still high, but it’s still nice to see sentiment calm down after the market’s recent digestion has “worn out” some of the bullishness. One negative is that I didn’t find too many setups in my screening this weekend, as many stocks are extended. That doesn’t mean the market has to drop. It likely means we will continue to see sector rotation which is bullish in a strong bull market. For example, while some software names correct, we could see some semiconductor stocks bounce. I discuss many in this video that are consolidating nicely on their 21-day EMA. The following link is an article I wrote for Yahoo Finance that discusses my 2021 preview. My video interview from Thursday can be found above the article. Enjoy the remainder of your long holiday weekend! https://finance.yahoo.com/news/2021-markets-preview-2-rare-events-are-a-sign-of-whats-to-come-141645928.html

Unusual Option Activity
12/24/20 Pinterest (PINS) buyer 3000 February $75 calls $7.02 looks to add to recent buys
12/24/20 Tesla (TSLA) with 15,000 January 2022 $810 calls opening as $177M position in September $270 calls adjusts out and up
12/24/20 Snap (SNAP) buyers active for 6000 January $53 calls $1.45+ into this dip
12/24/20 Palantir (PLTR) with 3000 February $33/$38 call spreads bought
12/24/20 Dropbox (DBX) with 1150 February $26 calls bought for $1.39 to $1.47 today, name with size April call open interest
12/24/20 Apple (AAPL) January $136 calls hot with 11,000X trading to open with buyers $3.10 to $3.25 in size lots
12/24/20 Taiwan Semi (TSM) moving to highs and 1000 April $105 calls bought $9 offer
12/24/20 Zillow (Z) with 2875 January $140 short puts opening $5.75 as the $120 strike adjust
12/24/20 Uber (UBER) with 2,400 January $53 calls bought up to $2.65
12/24/20 PayPal (PYPL) next week $250 calls 2400X active w/ buyers
12/24/20 Bill.com (BILL) opening sellers 1300 January $130 puts $1.60
12/23/20 Uber (UBER) buyers now for 7000 June $60 calls up to $5.70
12/23/20 ZoomInfo (ZI) the February $50/$60 call spread being bought 775X for $2.52
12/23/20 NeoGenomics (NEO) buyer of 1000 May $70 calls this afternoon for $2.55, trading 3.5X average volume
12/23/20 Intuitive Surgical (ISRG) with 1,000 January 2023 ITM $700 calls opening for $225.56, adjusting the Jan. 2022 $640 calls
12/23/20 Micron (MU) buyers active 2750 February $70 calls $5.35 to $5.50
12/23/20 Lumentum (LITE) buyers active here for 500 March $97.50 calls up to $10
12/23/20 Lumentum (LITE) the March $105 calls also being bought over 900X today from $6.90 to $7
12/23/20 Sea Ltd (SE) with 1,500 Dec. 31st (W) $200/$210 call spreads bought for $2.60
12/23/20 Cloudflare (NET) size buyer 1200 January $87 calls $5.40 offer, also the 1500 January $100 calls bought $1.75
12/23/20 CRISPR (CRSP) with 300 January 2023 $220 calls opening $62.75 as January 2022 $130 adjust
12/23/20 Apple (AAPL) buyers active 2000 April $138.75 calls $8.60 offers for over $1.8M
12/22/20 Advanced Micro (AMD) opening sale 1750 June 2022 $82.50 puts for $16.40
12/22/20 Shopify (SHOP) opening sale 300 June $950 puts for $53.60.
12/22/20 Virgin Galactic (SPCE) seeing buyers of February $28 calls $3.15 offer for 3000X this afternoon
12/22/20 Schrodinger (SDGR) late day buy of 1000 March $85 calls to open $11.30 and 900 March $90 calls bought $9.40 offer.
SDGR has previously seen buyers in March $125 OTM calls that have 4777 in OI.