Topics covered:
1) 0:00 Announcements
2) 0:15 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 9:50 Stock Review – Biotech: XBI (ETF), IBB (ETF), AMLX, BTAI, VTYX, RVNC, CINC, ACLX, AXSM, RYTM, IMCR
4) 17:45 Stock Review – Energy: OIH (ETF), SLB, HAL, TDW, VAL, HES, XOM, HP, APA
5) 20:00 Stock Review – Semiconductors: ACLS, PI, KLAC, AMKR, MBLY, AEHR, ALGM
6) 22:45 Stock Review – Watch List/General Ideas/Commentary: Z, CHWY, CELH, AXON, DECK, URI, DE, MEDP, PODD, MODN, SPLK, AYX
7) 27:00 Conclusion/Summary

Market Summary:
In this video, I discuss the importance of being flexible when analyzing the market. I always like to be open-minded and look at the positives and the negatives. Overall, three positives are improving in the market. 1) As I’ve discussed in recent videos, the price action of the major indexes are improving. They are getting above key moving averages and we are slowly starting to see institutions coming back into the market. 2) The price action of individual stocks is also improving. More breakouts are holding and more sectors are participating. 3) Regarding the Fed, the last CPI report showed inflation coming down for the fifth consecutive month. This will likely lead the Fed to doing two more 0.25% rate hikes and then pausing their current rate-hiking cycle.

This doesn’t mean that we are out of the woods yet. As I mentioned in Thursday’s webinar, we are SLOWLY seeing signs of improvement. If you had a heavy cash position recently, it doesn’t mean you go all in. In the past two weeks, I increased my investment levels from 10% to 40%. If conditions continue to improve, I will increase my exposure. What the bulls would ideally like to see is the S&P 500 consolidate its recent gain (from 3800-4000) sideways and on light volume. This would give time for stocks to form handles and possibly provide some strong entry points over the next two weeks. Again, be patient but keep an open mind that the market has already priced in a lot of the negative fundamental news and is looking forward. As always, I’ll take this day-by-day. Thank you and enjoy the remainder of your long weekend.

Unusual Option Activity:
1/13/23 Russell 2000 ETF (IWM) with 30,000 April $175 and $170 puts trading to open as spreads
1/13/23 Emerging Markets ETF (EEM) opening seller 10,000 May $41 puts $1.61
1/13/23 Apple (AAPL) seeing 2100 October $160 calls sell to open for $5.50 bids
1/13/23 Tesla (TSLA) with 400 June 2025 $100 puts sell to open for $26 to $25
1/13/23 Tesla (TSLA) trading nearly 40K weekly $120 calls into lows
1/13/23 Target (TGT) a large buyer of 2000 June $160 puts at $12.25, adjusting the $145 puts
1/13/23 Devon Energy (DVN) with 1000 July $50 puts sold to open $2.89
1/13/23 Revance Therapeutics (RVNC) with 3000 Jan 20th $30 puts sell to open $2.53 as the $25 short puts roll higher and stay bullish
1/13/23 Cassava Sciences (SAVA) seeing 1000 August $65 calls sell to open at $4.80 down to $4.30
1/13/23 Southern Copper (SCCO) with 600 January 2025 $65 puts sold to open for 7.90
1/13/23 ON Semi (ON) buyer 2800 February $55/$45 put spreads. Also buyer 1000 January 2024 $65 puts for $11.39
1/13/23 Salesforce (CRM) large bull trade sells 10,000 Jan 2024 $120 puts and buys 10,000 of the $170/$210 call spreads, net $1.75 debit
1/12/23 Nasdaq 100 ETF (QQQ) trade opens 15,500 June $305/$345 bear call spreads for $7.20 credit
1/12/23 Tesla (TSLA) buyer 2400 Jan 2025 $410 calls for $6.72 in a spread that sold 1600 of the $195 calls to open $24.33
1/12/23 Wynn (WYNN) buyer 2500 Jan. 27th (W) $98/$108 call spreads as $93/$105 adjust
1/12/23 Apache (APA) with 2925 July 27.50 puts sold to open for $0.88
1/12/23 Schlumberger (SLB) with a large stock replacement sells to open 7500 May $57.50 puts for $4.80
1/12/23 Sarepta (SRPT) sweep buyer 1000 February $120 puts $5.40 offer
1/12/23 Super Micro (SMCI) aggressive sweep buy 1000 February $80 calls $5.60
1/12/23 Apple (AAPL) opening sale 2000 October $155 calls for 7.05
1/12/23 Fortinet (FTNT) seeing 1800 June 50 puts sell to open for $5.90
1/12/23 Meta (META) opening sellers for 2000 Feb 3rd $120 puts at $2.76, captures earnings week
1/12/23 Zillow (Z) large opening seller for 1300 May $45 puts at $6.60 bids
1/12/23 Splunk (SPLK) trading February $90/$97.5 call ratio spreads, a trade that has been popular for a week now