Topics covered:
1) 0:00 Announcements
2) 0:15 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 7:50 FOCUS LIST: NVDA, DELL, WING, VRT
4) 10:40 Stock Review – Software and Semiconductors: IGV (ETF), APP, DDOG, CRWD, SMH (ETF), MU
5) 13:10 Stock Review – Biotech/Medical Products: XBI (ETF), CYTK, VKTX, CRNX, MRUS, ABOS, BSX, ISRG, NTRA, TMDX, RXST, PRCT
6) 16:50 Stock Review – Restaurants: CMG, CAVA, SHAK, TXRH, FWRG, DPZ, SG
7) 18:30 Stock Review – Watch List/General Ideas/Commentary: GOOGL, AVAV, LDOS, HWM, NOV, LLY, VST, CEG, NRG, TDW, MPC, CAMT, CLS, NTAP, PSTG, DECK, SMCI, MTH, PHM, TOL
8) 26:30 Stocks Near Buyable Ranges: NVDA, WING, APP
9) 27:35 Conclusion/Summary

Market Summary:
When the market broke below its 50-day moving average a few weeks ago, I discussed being defensive until the market proved itself better. Specifically, I wanted to see the selling slow down, a follow through day (FTD), and get back above the 50-day. The good news is that the Nasdaq Composite closed back above its 50-day this week. The bad news is that we haven’t seen a FTD day, as the two big recent up days (on 4/26 and 5/3) occurred on lighter volume. Speaking of volume, it was a mixed picture this week. The Nasdaq had two distribution days on Tuesday and Wednesday, but overall, it was up nicely for the week on higher than average volume.

Please keep in mind that the market can give us a mixed picture sometimes. It’s not designed to be easy and can be confusing at times. That’s why I like to keep things simple and look at the bigger picture. Overall, I think this recent decline was just a normal pullback within a bigger bull market uptrend. It doesn’t mean we will move higher from here right away. In fact, I’m expecting some normal consolidation over the near-term and I’m still open-minded that we can undercut the 4/19 low over the next few weeks. Either way, I’m not expecting a significant correction from here. If a 3-5% drop from these levels is too much for you, then reduce your exposure. If you’re too scared or nervous about the market, there’s nothing wrong with using lighter positions and keeping some cash until we get a clearer picture. Overall, I thought this week was positive. I’m going to continue to keep exposure to some of the strongest stocks out there and simply take this day-by-day. As always, continue to work on a strategy that fits your own investment objectives and risk tolerance. Thank you and enjoy the rest of your weekend.

Unusual Option Activity:
5/3/24 Russell 2000 ETF (IWM) sweep buys 3000 August $213 calls $4.52 offers
5/3/24 Russell 2000 ETF (IWM) July $220 calls being bought 9500X near $1.94 offer
5/3/24 Costco (COST) 1300 May 31st (W) $735 calls bought for $$2.3M adjusting May $730 calls
5/3/24 Coca Cola (KO) opening sales 1500 November 62.50 puts down to 2.40
5/3/24 Shopify (SHOP) seeing 3000 Sep. $75 calls bought for over $3M as June adjust out a few months
5/3/24 Uber (UBER) 7000 June 14th (W) $59 puts sell to open 0.68 to 0.64
5/3/24 Uber (UBER) 800 August 70 puts sell to open $6
5/3/24 PDD (PDD) large opening sales 8000 June 7th (W) $132 puts at $5.20
5/3/24 Marathon Petro (MPC) with 740 September $180 puts sold to open 10.90 to 10.15
5/3/24 Sunoco (SUN) 500 December $55 puts sell to open 4.45 to 4.30
5/3/24 Goldman Sachs (GS) buyer 1300 June $470/$500 call spreads bought as some May $450 calls adjust
5/3/24 Citigroup (C) with 3500 September $62.50 calls bought $3.90 with June adjusting
5/3/24 Eli Lilly (LLY) 630 June $690 puts sell to open $8.30
5/3/24 Viking Therapeutics (VKTX) large buys 1000 Sept $50 ITM calls $31.80 offer
5/3/24 Acumen Pharma (ABOS) with 7,970 January $5 short puts opening $1.75 as July $5 adjust
5/3/24 Waters Corp (WAT) 550 May $330/$300 bull risk reversals open $4.35 into earnings 5-7
5/3/24 FTAI Aviation (FTAI) buyer 3000 June $90 calls $0.89 as May 80 adjust
5/3/24 Union Pacific (UNP) 250 Dec 2025 $250 puts sell to open 26.84
5/3/24 Google (GOOGL) with 1500 Nov $145 puts sell to open at $4.57 to buy the $165/$190 call spreads at $10.07
5/3/24 Advanced Micro (AMD) opening sale of 1000 Dec 2025 $150 puts at $28.35 as the Nov $175 short puts adjust
5/3/24 Advanced Micro (AMD) also 1000 Dec 2025 $135 puts sell to open $20.77 as June 2025 $150 puts adjust
5/3/24 Super Micro (SMCI) large buys in May 800 calls today at $40 with over 2000 trading
5/3/24 Apple (AAPL) buyers 4000 June 14th (W) $185 calls $5.20 to $5.85
5/3/24 Apple (AAPL) also 1600 Jan. 2026 210 calls sold to open for $20
5/3/24 Qualcomm (QCOM) buyer 18,500 Sept $160 calls $25.30 as June $150 adjust out and up
5/3/24 Vertiv (VRT) opening sale 700 Nov $90 puts $12.30
5/2/24 S&P 500 ETF (SPY) seeing 4000 August $525 calls buy at $6.86 as $530 calls adjust
5/2/24 S&P 500 ETF (SPY) also a buyer of 1750 Sept 30th (Q) $510 calls at $17.75 to $18.90
5/2/24 S&P 500 ETF (SPY) with 3000 July 31st $500 puts sell to open at $11.42 as the May 31st short puts adjust out
5/2/24 China Tech ETF (KWEB) buyer of 17,500 Oct $32 calls at $2.03 as the $29 calls adjust higher
5/2/24 Ark Innovation ETF (ARKK) seeing 6500 June $43 puts bought at $1.77 as May puts adjust
5/2/24 Celsius Holdings (CELH) interesting spreads buy 2000 May 10th $75 calls at $4 and sells 4000 May $90 calls at $1.25
5/2/24 Costco (COST) with 1500 May $730 calls buy at $12.55 as May 10th calls adjust out a week
5/2/24 Colgate (CL) buyer 900 January $100 calls $3.10
5/2/24 Bank America (BAC) buyer 2500 Dec 2026 $40 calls for $5.75
5/2/24 AstraZeneca (AZN) 1000 Oct $77.5 calls bought $4.20 offer
5/2/24 Abbott Labs (ABT) with 10,000 June $100 puts sell to open $0.91 to $0.86
5/2/24 Crispr Therapeutics (CRSP) buyer 1100 June $50 calls at $7.82 as May $55 calls adjust, reports 5/6
5/2/24 Dyne Therapeutics (DYN) with 1775 June $30 calls bought $1
5/2/24 Merck (MRK) large opening seller of 15k June $130 calls at $2.74
5/2/24 Medtronic (MDT) opening sale 5000 June 77.50 puts 1.31
5/2/24 Nvidia (NVDA) buyer 4000 May 31st (W) far OTM $1150 calls for $5, captures earnings 5-22
5/2/24 Advanced Micro (AMD) with 1500 Dec $150 calls buying at $20.80 to $21
5/2/24 Meta (META) opening seller 2500 June 7th (W) $435 puts $15
5/2/24 Meta (META) buyer 600 Nov $470 calls $41.90 offer
5/2/24 Snowflake (SNOW) buyer 600 March 2025 $185 calls to open $21.70
5/2/24 Workday (WDAY) buyer 900 August $300/$340 call spreads
5/2/24 AppLovin (APP) opening sale 300 Jan 2026 $115 calls for 11.85
5/2/24 DataDog (DDOG) 1000 June $120 puts sell for $6
5/2/24 CrowdStrike (CRWD) seeing buyers of 500 Jan $420 calls at $19