Topics covered:
1) 0:00 Announcements
2) 0:35 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 10:30 Stock Review – Energy: XLE (ETF), OIH (ETF), XOP (ETF), APA, DVN, EOG, FANG, HP, SM, WLL, MPC, TDW, BKR
4) 17:20 Stock Review – Commodity Related: MOS, CF, ADM, BG, NTR, DAC, CCJ
5) 19:05 Stock Review – Relative Strength Watchlist: PANW, PCRX, AOSL, ACLS, GFS, EVH, HRMY, ITCI, SRRA, LLY
6) 23:15 Stocks near buyable ranges: SG, BROS, IRTC, CLH
7) 26:10 Conclusion/Summary
Market Summary:
In this video, I review the positives and negatives in the market. One of the biggest positives this week was the strong price action in the Nasdaq Composite. We not only had supportive action on Monday and Friday of this week (where the index was down but closed near the higher end of its range), but we also had an additional Day 8 follow through day on Thursday. The S&P 500 and NYSE Composite both regained their respective 50-day and 200-day moving averages. The Russell 2000 paused for the week on light volume, showing a healthy digestion of the prior week’s gains. In addition, the price action of stocks continues to improve and I review many of those names in this video.
The biggest negative continues to be the hawkish Fed. The big question right now is has the market already priced in the upcoming rate hikes? Or is the market not taking the Fed seriously? Of course no one knows the answer and we will hopefully get more clarity in the upcoming months. Other negatives include inflation and the ongoing geopolitical concerns. Conclusion: I’m going to remain approximately 50% invested. I could see a range forming over the next 2-3 weeks, and I would like to observe if the market and stocks continue to act well. As always, my investment levels are subject to change and you should make your own decisions based on your risk tolerance and investment objectives. If you have any questions about this or would like me to review any stocks not covered in this video, you can ask them during the next webinar which will be Monday, March 28th at 7:30PM EST. Thank you and enjoy the rest of your weekend!
Unusual Option Activity
3/25/22 Cutera (CUTR) with 2,100 May $50 calls bought for $6.20
3/25/22 Cutera (CUTR) also with buyers of 1,500 September $50 ITM calls for $11.50 to $12.20
3/25/22 SM Energy (SM) buyers of 2000 May $50 calls for $1.85 to $2.35
3/25/22 Mosaic (MOS) buyers of 1,500 April 8th (W) $69 calls from $3.70 to $4.10
3/25/22 Bristol Myers (BMY) 2500 Apr $74 calls bought this morning near 0.73
3/25/22 Apple (AAPL) buyers of 1000 June 2024 $180 calls to open today from $32.65 to $33.10, over $3.5M
3/25/22 Nvidia (NVDA) the May 6th (W) $290 calls active with buyers today, 1000X
3/25/22 Conoco (COP) buyer 1200 August $110 calls for $7.04
3/25/22 Conoco (COP) also with 1350 May $97.5 puts sold to open $2.64
3/25/22 AmeriSource (ABC) with 500 May $155 calls opening for $5.99 a some weekly call spreads adjust out in time
3/25/22 Pure Storage (PSTG) more bull flow with buyers in January $35 calls 1200X near $7.20
3/24/22 S&P 500 ETF (SPY) large trade sold 10,000 May $387 puts $2.81 and bought 20,000 May $465/$485 call spreads
3/24/22 Marathon (MPC) seeing 2000 April 29th (W) $84 calls bought $2.40 to open
3/24/22 Patterson UTI (PTEN) buyers of 3200 May $16/$18 call spreads this morning as more April positions roll
3/24/22 Halliburton (HAL) with 2,500 June $37 calls bought early for $4.25 to open
3/24/22 Schlumberger (SLB) with 9000 June $45/$35 bull risk reversals opening at $1.93 debits
3/24/22 Schlumberger (SLB) also with 3,750 September $60 calls bought for $1.30 today to open
3/24/22 CF Industries (CF) buyer of 8000 May $115/$130 call spreads for $3.30 into strength
3/24/22 CF Industries (CF) also buyers of 850 June $130 calls for $3.40
3/24/22 Southwestern Energy (SWN) sweep buyer 3000 September $8 calls $0.54
3/24/22 ZIM Shipping (ZIM) opening sale of 2,500 May $65 puts for $3.70
3/24/22 MP Materials (MP) buyers of 1250 May $65 calls from $2.25 to $2.90 and the June $70 calls also active
3/24/22 Peabody Energy (BTU) with 1000 April $27 puts sold to open for $3
3/24/22 Nucor (NUE) 500 January $220 OTM calls bought for $6.05
3/24/22 US Steel (X) with 2000 April $37 puts sold to open today near $2.15 to open
3/24/22 Cameco (CCJ) opening sale 3000 April $27 puts for $1.05
3/23/22 Fluor (FLR) with 2450 May $35 calls bought $0.75 to $0.85