Over the next month, the news will be toxic with all the election and debate stories. I encourage everyone to do their best to shut out the noise and focus on price action. I say this because too many people missed out the strong uptrend that started in early April because they were negatively influenced by the news. Back then, we had two follow through days, the Fed came in to support the market, and many stocks began to emerge from strong bases, but many people did not participate because the news was very scary. If you made that mistake in April, don’t do it again this time. We are heading into a seasonally strong time of the year, and many stocks are acting well.

Over the near-term, I’m still expecting some volatility and I still think many stocks need time to consolidate. However, I am not expecting any SUSTAINED downside. I feel the 3200-3230 area on the S&P 500 will be a very strong support level. Most importantly, many growth stocks across different sectors continue to act well. Again, stay focused on this and less on the news. One goal I have is to create strong and confident traders, and if you are easily affected by the news and social media, turn it off! Good luck for the remainder of the week and see you Sunday, October 4th at 11AM EST for the next webinar.

Unusual Option Activity:
9/30/20 Zillow (Z) February $110/$135 call ratio spreads trading 1000X2000 late
9/30/20 Alphabet (GOOG) with 325 November $1490/$1505 call spreads opening this afternoon for $7.15
9/30/20 Nio (NIO) opening sale 1000 May $21 puts for $7
9/30/20 Pinterest (PINS) spread buys 1300 Oct. 30th (W) $42 calls $3.70 and sells 2600 of the $47 calls $1.85
PINS spread likely targeting earnings which should be that week
9/30/30 Netflix (NFLX) earlier today with 1450 December $550 calls opening around $28
9/30/30 Nvidia (NVDA) opening sale 1,042 November $435 puts for $8.65
9/30/20 Tesla (TSLA) midday with some size buys in Oct. 23rd (W) $400 calls with over 2000 trading at around $53.50, adjusting from Oct. $400
9/30/20 Zen-Desk (ZEN) buyers of more than 1,000 January $120 calls today up to $5 and follows buyers in the October $105 calls over 2300X and put sales across the January 2021 and January 2022 options in the last month. ZEN still has near 2,000 January $115 calls in OI as well from buyers in 2019 for more than $1M.
9/30/20 Lululemon (LULU) buyers of 595 March $330 calls today near $41 for almost $2.5M
9/30/20 Cloudflare (NET) buyer 400 January $47 calls $3.60 to open
9/30/20 Atlas Air (AAWW) with opening sales of 400 January $57.50 puts for $5.40
9/30/20 Fastly (FSLY) with 700 November $75 puts sold to open $4.90
9/30/20 Sea Limited (SE) the October $157.50/$170 call spread being bought 600X for $4.66 with the $150 puts sold to open for $4.66
9/30/20 Century Communities (CCS) unusual volume for the name as 625 March $40 calls being bought up to $8
9/30/20 Marvell Technology (MRVL) 2000 next week $40 calls bought for Analyst Day
9/30/20 RedFin (RDFN) opening sale 800 January $40 puts for $2.85
9/30/20 Zscaler (ZS) another 1,350 October $150 calls being bought today $2.40 to $3
9/30/20 Nvidia (NVDA) trading 6000 weekly $550 OTM calls early
9/29/20 Pinterest (PINS) sale of 400 Feb $40 puts to open $6.75
9/29/20 Nio (NIO) Oct $23 calls w/ size lot buyers, on highs, trading 12K
9/29/20 Taiwan Semi (TSM) 2650 Oct $86 calls with buyers
9/29/20 Netflix (NFLX) with 500 June $320 puts sold to open today for $29.55, stock replacement and around $1.5M
9/29/20 Advanced Micro (AMD) buyer today of 500 September $82.50 calls for $17.25 to $17.40, over $865K
9/29/20 Virgin Galactic (SPCE) buyer 1000 January 2022 $32 calls $6 to $6.05
9/29/20 Apple (AAPL) earlier with a block of 5,455 October $123 calls bought for $1.19
9/29/20 Fastly (FSLY) 1800 weekly $105 far OTM calls active w/ buyers early
9/29/30 Square (SQ) strong open w/ 4000 weekly $165 calls active
9/28/20 Novocure (NVCR) with 400 December $105 puts sold to open from $9.70 to $9.50
9/28/20 Cloudflare (NET) buyer 350 May $50 calls today for $4.90
9/28/20 Square (SQ) with 1475 December $165 calls opening, adjusting from $160 strike
9/28/20 Facebook (FB) stock replacement sells 600 January 2023 $250 puts for $53, near $3.2M trade
9/28/20 Alibaba (BABA) with 1550 December $245 puts sold to open for $8
9/28/20 Shopify (SHOP) now 500 January $840 calls open $184.80 as October $820 adjust
9/28/20 Pinterest (PINS) spreads selling January $32 puts to buy the $45/$60 call spreads 3000X
9/28/20 Adobe Systems (ADBE) with 4,000 December $400 calls bought $98.03 as the October $350 calls adjust out from mid-June buys
9/28/20 Shopify (SHOP) with 1,000 February $820 calls bought $222.78 as the October $750 calls adjust out from mid-June buys, similar in original opening time to ADBE
Should note those opened originally around the same time as the ‘Softbank whale’ trades that were discussed in the media in other mega-cap tech and Softbank did disclose SHOP, ADBE on their last 13F, so would make sense they’re from the same fund
9/28/20 DR Horton (DHI) with 1000 October $72 calls opening $3.40 to $3.50
9/28/20 Coupa Software (COUP) next week’s $270 puts sold to open today 400X from $9.10 to $8.60
9/28/20 Apple (AAPL) fresh action in April $127.50 calls with 1800X bought $8.60 to $8.80
9/28/20 Amazon (AMZN) opening seller 500 Nov. 6th (W) $3140 puts for $212, $11M trade
9/28/20 Datadog (DDOG) 1500 Oct $100 calls seeing some buyers into strength
9/28/20 Twitter (TWTR) with 2730 October $47/$40 bull risk reversals opening $0.38 debit
9/28/20 Twitter (TWTR) also with 900 March $39 puts sold to open today for $4.05
9/28/20 Virgin Galactic (SPCE) buyer 693 Jan 2021 22.0 Calls for $3.70
9/28/20 Sea Limited (SE) with 750 October $175 calls bought for $3.40
9/28/20 Sea Limited (SE) another 750 October $175 calls bought here $3.05
9/28/20 Sea Limited (SE) also with 500 December $125 puts sold to open for $5.20
9/28/20 Netflix (NFLX) opening seller 250 March 2021 $380 puts for $19.20
9/28/20 Peloton (PTON) with 3490 Oct. 9th (W) $100 calls opening $3.70 to $4 in early trade
9/28/20 Peloton (PTON) also with 500 October $97 calls bought $6.10 to $6.15 to open
9/28/20 Peloton (PTON) also buyers of 1900 April $115 calls for $15.30 to $15.70

Topics covered:
1) 0:00 Announcements
2) 0:30 Market Commentary and Index Review (Nasdaq Composite, S&P 500, Russell 2000)
3) 8:10 NEW FOCUS LIST – AMZN, MSFT, ADBE, AAPL, CRM, QQQ (ETF), CRWD, ZS, OKTA, VEEV, NOW, TSLA, Z, MA, SQ, NVDA, ZM, SGEN, TXG, GH, NVTA, ADPT, ARKG (ETF)
4) 17:30 Stock Review – Software: BAND, FVRR, FSLY, SAIL, ZEN, PLAN
5) 20:45 General Ideas/Commentary: SHOP, NFLX, BABA, JD, LEN, CCS, MTH, LOW, XHB (ETF), ITB (ETF), AMD, DXCM, PYPL, PINS, DDOG, PKI, MRVL, ETSY, AAWW, PENN, DKNG
6) 30:55 Current Setups – ZS, FSLY, NFLX, CRWD, MRVL
7) 33:15 Conclusion/Summary