Tonight’s summary is very similar to last weekend’s summary. I’m still bullish into the election for all the reasons I have outlined over the past few weeks. Short term, there’s the same conflict: The market is extended but stocks continue to act well (especially the Mega Cap leaders). I reconcile this by keeping exposure to those leaders and still keeping cash for the pullback. I know some people are getting frustrated because it feels like the market will never pull back, but keep in mind we are in this for the long run and to stick to your discipline. This is a very strong, liquidity-driven rally but we will still see some shakeouts along the way. Know your timeframe and adjust your positions to whatever works for you and makes you comfortable. For example, stocks continue to set up and many of the ones I’ve mentioned in recent videos are working out (i.e. SWKS, NFLX, PYPL, IDXX). There’s nothing wrong with taking smaller or half positions if you are nervous/not comfortable buying here. That way, if they work out, you still own some, and if we pullback, you don’t get hit as bad and you can always add to your position. Good luck for the remainder of the week!

Unusual Option Activity:
9/2/20 Zoom Video (ZM) buyer of 650 June 2021 $600 calls for $56.40 this morning to open
9/2/20 Microsoft (MSFT) now with 2,000 January 2022 $320 calls sold for $13.10 in a buy-write as well
9/2/20 Microsoft (MSFT) also with over 6,000 November $270 calls bough today for $6.05 to $6.15
9/2/20 Apple (AAPL) large spread today sold 15,000 October $160 calls for $2.50 to buy 10,000 of the December $160 calls for $5.75
9/2/20 Adobe (ADBE) now a big buyer of 2,000 October $525 calls for $45.10 to open, earnings on 9-15; ADBE also with 1,500 November $525 calls bought for $60 to open and the December $525 calls bought 1,300X for $69.20 to open, around $27M in premium
9/2/20 Salesforce (CRM) with an opening buyer of 6,000 October $270 calls for $20.50, the November $270 calls 3,000X for $30.45, and the January $270 calls 2400X for $37.75, simiilar to ADBE
9/2/20 Netflix (NFLX) buyer of 1,400 November $545 calls for $64.90, the December $540 calls 1,200X for $74.20, and the October $545 calls 1800X for $49, similar to ADBE and CRM
9/2/20 Amazon (AMZN) with 1,250 October $3,520 calls bought for $226.50, the November $3520 calls bought 800X for $345, and the December $3520 calls bought 750X for $387, over $85M total
9/1/20 Dollar General (DG) the November $200/$210 call spread active 1,250X
9/1/20 Salesforce (CRM) buyers of the October 330 calls for $3.45 to $3.50 into the highs, over 2950X
9/1/20 Workday (WDAY) with over 800 October $260 calls bought between $7.40 and $8.55 today
9/1/20 Advanced Micro Devices (AMD) with 750 April $80 puts sold to open for $11.95
9/1/20 Zillow (Z) with 1,000 OTM June $115 calls bought today between $9.85 and $10 and 725 February $105 calls bought up to $8.90
9/1/20 AAPL afternoon buyer of 6,000 October $170 calls for $1.90
9/1/20 Apple (AAPL) buyers of 1,000 November $131.25 calls for $12.50 to $12.80
9/1/20 Coupa Software (COUP) continues to trade well and today 500 January 2022 $320 puts are sold to open for $57.90, over $2.85M
8/31/20 Google (GOOG) now with 2,300 December $1640/$1960 call spreads bought for $109.50
8/31/20 PayPal (PYPL) with 900 ITM March $190 calls bought $30.85 in a stock replacement, $2.78M
8/31/20 Netflix (NFLX) the December $520/$620 call spread bought 7100X today for $37.50
8/31/20 Netflix (NFLX) also seeing some deep ITM September $400 and $410 calls bought on 6/9 close 3,000 and 2,000 and adjust out to buy the December $400 and $410 calls for $43M and $27M respectively
8/31/20 Facebook (FB) buyer of the December $290/$350 call spread for $21.60, 11700X
8/31/20 Apple (AAPL) with 4,000 October $132.50 calls bought for $8.35
8/31/20 Amazon (AMZN) buyer of 1,100 January $3465/$4100 call spreads for $226, the December $3470/$4100 call spread 1,100X for $219, and 1,300 November $3500/$4100 call spreads for $197
8/31/20 Amazon (AMZN) also with the September $3,500/$4,000 call spread bought 1400X
8/31/20 Apple (AAPL) with 4,325 June 2022 ITM $95 calls being bought today up to $44.80
8/31/20 Mastercard (MA) with 1000 September $337.50 puts sold to open today $1.60
8/31/20 Rocket Co (RKT) with 1,000 October $23 calls bought today between $7.70 and $8.30
8/31/20 Adobe Systems (ADBE) early sellers of 1,000 September $445 puts for $3.60 down to $3.25; ADBE also with 1,500 September $435 puts sold for $2.14 to $2.01
8/31/20 Advanced Micro (AMD) with 1,000 October 2nd (W) $85 calls bought $7.20 to $7.40, some weekly calls adjusting out
8/31/20 Netflix (NFLX) with the weekly $475 puts sold to open 2650X down to $0.91
8/31/20 Zoom Video (ZM) with 1,000 March 2021 $380 calls bought $35 to $35.20 to open today ahead of earnings
8/28/20 Digital Turbine (APPS) late surge in activity with buyers in the September $25 and October $25 calls

Topics covered:
1) 0:00 Announcements
2) 0:50 Market Commentary and Index Review (Nasdaq Composite, S&P 500, Russell 2000)
3) 9:20 Stock Review – Mega Caps: AMZN, NFLX, MSFT, ADBE, AAPL, CRM, FB, GOOGL, QQQ (ETF)
4) 14:20 Stock Review – Software: NOW, FSLY, APPS, BAND, FVRR, ZM, ZS, OKTA, CRWD, RNG, DT
5) 20:15 Stock Review – Semiconductors: NVDA, AMD, SWKS, AEIS, TSM, KLAC, LRCX, SMH (ETF)
6) 24:10 Stock Review – General Ideas/Commentary: DXCM, GH, IDXX, SHOP, PYPL, CRL, EBAY
7) 27:15 Current Setups – CRL, TTWO, AAWW, TSM, CHGG
8) 29:10 Conclusion/Summary