Topics covered:
1) 0:00 Announcements
2) 0:30 Market Commentary (Many ETFs and stocks are discussed in this segment)
3) 11:20 Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
4) 19:20 Stock Review – Mega Caps: FB, AMZN, GOOGL, MSFT, TSLA, NFLX, AAPL, PYPL
5) 22:50 Stock Review – Watch List/General Ideas/Commentary: ASML, NVDA, SWAV, APEN, CELC, FNKO
6) 24:45 Conclusion/Summary

Market Summary:
I’ve discussed two themes recently: 1) Over the past 2-3 weeks, being cautious and getting defensive, specifically in growth stocks and 2) Over the past 2-3 months, how there are two different markets going on right now. Growth is going through a correction (as seen in the Nasdaq Composite), while many other sectors such as Retail, Financials, and Energy are in strong uptrends (as seen in the S&P 500). How does one deal with this bifurcated market? By remaining defensive in growth stocks, and owning some ETFs in the stronger sectors until conditions improve in growth.

I feel that the rebound we saw on Thursday/Friday was more of a short covering rally, as many market participants got very negative into the middle of the week. As much as I’ve discussed being defensive and using lighter positions, I have never said to go short because I think it is too difficult, and not worth the aggravation with all the Fed liquidity. In this video, I discuss how sentiment got fairly negative into the middle of the week, and how the market likes to fool the majority by rebounding strongly. I don’t think this week was the low, just a bounce to shakeout some of the excess bearishness. Also, the bounce occurred on light volume, telling me there wasn’t any significant institutional buying behind the move. As I’ve said many times, I’m not bearish, but still cautious over the near-term until the selling stabilizes and we see more quality setups.

Over the next two weeks, the market could stay in a range, as this week is Options Expiration week (which tends to trend to the upside) and next week is a holiday week into Memorial Day (which also tends to trend up). Again, until the price action of stocks improve, I am keeping things light and staying defensive. There is no webinar this weekend, but if anything comes up during the week, I will do a special webinar midweek or email members if there are any interesting developments. Enjoy the rest of your weekend and good luck next week!

Unusual Option Activity
5/14/21 Roblox (RBLX) with nearly 3,000 July $80 calls bought for $4.85
5/14/21 Nasdaq 100 ETF (QQQ) buyers of 3,000 October $370 calls for $3.05
5/14/21 Upstart Holdings (UPST) June $100/$130 call spreads bought 500X early
5/14/21 Pacific Bio (PACB) the June $20 calls bought today 950X for $4.80
5/14/21 Freeport McMoran (FCX) with 1000 August $42 puts sold to open today for $4.55
5/13/21 Wix.com (WIX) with 1,150 June $240 calls bought for $8.80
5/13/21 Halliburton (HAL) with 1000 September $23 calls bought $2.30 to $2.40
5/13/21 Diamondback Energy (FANG) with 1300 September $105 calls bought for $3
5/13/21 Facebook (FB) with 1000 March 2022 $320/$250 bull put spreads opening at a $29 credit.
5/13/21 Facebook (FB) also with 20,000 September $350 calls opening today near $9.40 as July $340 adjust from 4/6