Topics covered:
1) 0:00 Announcements
2) 0:15 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 14:10 Stock Review – Semiconductors: SMH (ETF), AMAT, ASML, NVDA
4) 15:20 Stock Review – Software: IGV (ETF), DOCU, CRWD, ZS, NET, BILL, TEAM, DT
5) 17:25 Stock Review – Medical Products: ALGN, CUTR, INMD
6) 18:20 Stock Review – Watch List/General Ideas/Commentary: ALB, ZBRA, ROKU, NVS, AMZN
7) 20:00 Setups: ORMP
8) 21:15 Conclusion/Summary

Market Summary:
Earlier this year, we were in two different markets. Growth corrected from February through June, while Value and the “opening up the economy” stocks were in strong uptrends. Now, we continue to see two different markets except this time, Mega Cap stocks are in a strong trend while Small and Mid Cap growth stocks are correcting, specifically some of the high valuation stocks. You can see this in the following ETFs (IWM, MDY, IWO, ARKK, and FFTY). Of course, the biggest questions is: What do you do? The answer depends on what you own, but here are a few bullet points:

1) Be patient and wait for a clearer picture. Either Small and Mid Caps stabilize, or their weakness beneath the surface weighs down on the overall market.
2) Whenever the market gives us mixed signals, I will always lean towards the defense side. Why? Because I want to protect members and also because the best traders/money managers in history all preach defense first!
3) Minimize any new buys. In this video, I discuss many stocks near their 21-day moving average. If you are looking to make any pullback buys, use 1/2 positions (or less). Be patient and give them time to see how they act around this key shorter-term technical level.
4) If you buy anything, make sure to get strong entry points. Do not chase extended stocks!
5) Have a loss cutting discipline and use the 50-day/10-week as your guide. I mentioned how I got stopped out of VCEL and NVCR a few weeks ago. I also got stopped out of PGNY on Tuesday. It’s not fun, but you just have to accept that it’s part of the game.

Again, I am not turning bearish, I am simply suggesting caution and using lighter positions until we get a clearer picture. There is some damage in many Small and Mid Cap growth stocks beneath the surface, and I would prefer members lean towards the defensive side for now. Also, next week is the week after regular cycle Options Expiration (OpEx), which tends to trend to the downside. I raised some cash today just in case the Nasdaq Composite pulls back to its 21-day, or even retests its recent 14,200 breakout level. Good luck for the remainder of the week.

Unusual Option Activity
7/14/21 Semiconductor ETF (SMH) with 7500 August $275 calls opening $2.28 as July adjust
7/14/21 MasterCard (MA) buyer 3500 September $400 calls $11.20 as August $365 adjust
7/14/21 Apple (AAPL) opening sellers 8500 Aug. 13th (W) $149 ITM puts early $5 to $4.95
7/14/21 Micron (MU) sale to open 900 December $72.50 puts for $4.30
7/14/21 Roku (ROKU) spreads are selling 1000 of the Jan $370 puts and buying the $450/$560 call spreads for a net $10 credit
7/13/21 Apple (AAPL) size lots selling Aug. 6th (W) $145 puts $4.60 bid for 6500X
7/13/21 Tesla (TSLA) buyers of October $830 calls that traded 4850X for over $11M
7/13/21 Facebook (FB) today seeing 3700 September $375/$405 call spreads open
7/13/21 Twilio (TWLO) with 1100 July 30th (W) $415 calls opening $14.50 to $15.20 today, will capture 7-29 earnings
7/13/21 Crispr Therapeutics (CRSP) buyer of 1000 October $150/$120 bull risk reversals for $8 debit
7/13/21 S&P 500 ETF (SPY) with spreads selling December 2022 $420 puts to buy the $475/$495 call spreads 14,000X
7/13/21 Z-Scaler (ZS) buyer of 200 July 2022 $250 calls this morning for $34.30
7/13/21 MasterCard (MA) 660 Sep $345 puts sell to open $4.25
7/13/21 Cassava Sciences (SAVA) bullish spread sells 1000 August $65 puts to buy the $125/$165 call spread for a net $2.40
7/13/21 ON Semi (ON) buyer of 1000 August $33 calls for $5.36, adjusting some July calls and follows the large call spread yesterday
7/12/21 ON Semi (ON) buyer 10,000 January 2023 $40/$50 call spread for $3.40, Analyst Day Aug 5th.
7/12/21 Align Tech (ALGN) with 230 January $650 calls bought for $70.20
7/12/21 Twilio (TWLO) IV rising with 500 January $400 calls bought up to $52 to open
7/12/21 Micron (MU) with 9000 October $85/$95 call spreads being bought $2.19
7/12/21 DexCom (DXCM) with 300 September $450/$470 call spreads bought for $9.50
7/12/21 Intuitive Surgical (ISRG) with 400 January $960 calls bought to open for $79.90, sizable trade ahead of earnings on 7-20
7/12/21 Netflix (NFLX) with 1250 September $540 calls bought up to $26.80, adjusting August calls
7/12/21 Tesla (TSLA) buyers for nearly 1500 November $1050 calls $12.80 offer to $13.05 for around $2M
7/12/21 Lam Research (LRCX) with 1000 July 30th (W) $660 calls bought early $8 to $8.10 ahead of 7-28 earnings
7/12/21 Albemarle (ALB) 600 Aug $200 calls bought
7/12/21 Salesforce (CRM) buyer 570 March 2022 $280 calls $10.60 as January adjust out
7/12/21 Snowflake (SNOW) buyer 350 October $320 OTM calls $10.20 to $11
7/12/21 Oramed Pharma (ORMP) with 1500 November $12.50 calls bought from $2.85 to $3.30