Topics covered:
1) 0:00 Announcements
2) 0:30 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 13:50 Stock Review – Mega Caps: AMZN, MSFT, AAPL, NFLX, TSLA, PYPL, SHOP, QQQ (ETF)
4) 18:20 Stock Review – Software: APPN, FIVN, APPS, DOCU, FSLY, CRWD, ZS, OKTA
5) 21:20 Stock Review – Semiconductors: NVDA, AMD, UCTT, COHU, TSM, SMH (ETF)
6) 23:00 Stock Review – Medical: HALO, ALGN
7) 23:50 Stock Review – Big Cap Pharmaceutical Buys by ARK Funds: NVS, RHHBY, TAK, BMY
8) 26:00 Stock Review – General Ideas/Commentary: LL, BLDR, HYRE, FTCH, EXPI, Z, PLTR
9) 28:20 Current Setups – SNAP, NET, ACMR, FND, SQ
10) 31:30 Conclusion/Summary

Market Summary:
As I mention in this video, the majority of the guidance I give is based on a normal market. Please keep in mind this isn’t a normal market. It’s just an observation and definitely not a complaint. In its history, the market has never seen this much liquidity being pumped into the system while interest rates are also near zero. This is providing an incredibly friendly environment for equities, but I’m still going to stick to my discipline of getting strong entry points, selling into strength, and having cash for the inevitable pullbacks. I cannot encourage undisciplined behavior because if you get used to it for too long, you will eventually develop bad habits and it will hurt you during corrective periods.

If you are frustrated with this market, I suggest having a blend of the major growth sectors I’ve been highlighting in these videos: Mega Caps, Software, Semiconductors, Medical, Biotech, etc. These are some of the strongest and most consistent sectors to focus on and having a good blend of them will minimize your frustration. There is constant sector rotation, so while some sectors correct, money is constantly rotated into other sectors. Another way to deal with this is by using ETFs (SPY, DIA, QQQ, IWM) to give you broad market exposure. Overall, there is little distribution in the markets and I’m going to maintain approximately 50-80% exposure. I am currently 60% invested and most of my positions I own from lower levels. There are many stocks I’ve mentioned in recent videos that are on my watch list for pullback buys. I plan to use my cash if they pullback to logical support levels. Good luck for the remainder of the week.

Unusual Option Activity
1/20/21 FarFetch (FTCH) afternoon buyers of 1550 March $60 calls for $8.45 to $8.60
1/20/21 Personalis (PSNL) March $55 calls up to 3000X as February $40 adjust
1/20/21 Atlassian (TEAM) IV perking up here with 1,800 June $240 calls bought for $22.20 to $23.50
1/20/21 Nautilus (NLS) buyer of 600 July $15 calls for $7.80
1/20/21 Zillow (Z) with 4000 January 2023 $130 puts sold $21.55 to open
1/20/21 TelaDoc (TDOC) trading 2000 next week $250 calls for over $1.7M
1/20/21 Crispr Therapeutics (CRSP) with 300 July $170 puts being sold to open $29.50 today
1/20/21 Nvidia (NVDA) early size buying 5000 next week $550 calls for over $2.8M
1/20/21 Z-Scaler (ZS) aggressive buyer 1000 March $270 OTM calls $5.25.
1/20/21 Z-Scaler (ZS) also 1300 Jan. 29th (W) $230 calls bought $2.44.
1/20/21 Z-Scaler (ZS) also with the February $225 calls bought 1150X for $9.90 to $10.10
1/20/21 Advanced Micro (AMD) buyer 1050 Jan. 2022 $150 far OTM calls for $5.35
1/20/21 Lumentum (LITE) with 300 January 2022 $90 puts sold to open for $14 today
1/20/21 Tower Semi (TSEM) buyer 3500 February $35 calls $0.70 as $33 adjust
1/20/21 Cloudflare (NET) with 1700 Feb. 5th (W) $87.50 calls opening around $2.60.
1/20/21 Cloudflare (NET) Feb 5th (W) $87.50 calls are up over 6500X on the session
1/20/21 Macom Tech (MTSI) opening sale 1250 August $35 puts $1.25 into session lows
1/20/21 DataDog (DDOG) the Jan. 29th (W) calls very active today, the $115 calls trading 5000X, 1000 of the $105, and 1700 of the $110
1/19/21 Novartis (NVS) buyer 1000 January 2023 $110 calls $5 to $5.50, follows a Jan. 2023 OTM call buy last week too
1/19/21 Biotech ETF (IBB) with 1000 Feb. 26th (W) $160 calls bought for $7.90 to open
1/19/21 Palantir (PLTR) with 4,500 OTM March $45 calls bought for $1.41 this morning
1/19/21 Lumentum (LITE) into weakness today a spread sells 500 June $80 puts to buy the $100/$110 call spread for a net credit
1/19/21 Etsy (ETSY) with buyers active for 1800 June $220 calls $32.50 to $34
1/19/21 DocuSign (DOCU) with 3000 February $300 calls active with buyers $3.20 to $3.45 this morning
1/19/21 Taiwan Semi (TSM) with 5000 February $150 calls bought $1.50 to $1.55
1/19/21 Taiwan Semi (TSM) also with 1,500 March $145 calls bought $4.60 earlier
1/19/21 Maxar Tech (MAXR) buyers 2000 February $75 far OTM calls up to $1.30
1/19/21 Maxar Tech (MAXR) also 900 March $60 calls bought $6.20 offer
1/19/21 Overstock (OSTK) buyers of 1,500 March ITM $50 calls for $15.70 to $16.10
1/19/21 Amazon (AMZN) with 1000 February $3340 calls bought this morning near $53.65
1/19/21 Virgin Galactic (SPCE) buyers 2500 March $36 calls $3.90 offer to open
1/19/21 NASDAQ 100 ETF (QQQ) block of 10,000 June $300 puts sold to open for $15.78
1/19/21 Zillow (Z) with 2500 January $125 puts sold $20.60 to open, popular strategy in the name for weeks now
1/19/21 TelaDoc (TDOC) with 300 April $230 puts sold to open $24.30
1/19/21 Micron (MU) buyer 2000 February $82 calls early $3.90 to $4
1/19/21 Marvell Tech (MRVL) the March $60/$70 call spread bought 4250X for $1.28, some February spreads adjusting higher.
1/19/21 Marvell Tech (MRVL) also with the March $55 active with buyers over 1500X while the $60 calls up over 14,750