Topics covered:
1) 0:00 Announcements
2) 0:20 Market Commentary and Index Review (Nasdaq Composite, S&P 500, and Russell 2000)
3) 6:50 Stock Review – Energy: XLE (ETF), XOM, CVX, XOP (ETF), OIH, SLB, HAL, APA, DINO, MTDR, OXY, FANG, CVI, HES, EOG, HP, SM
4) 11:05 Stock Review – Biotech/Medical Products: XBI (ETF), IBB (ETF), AXSM, PRTA, CINC, VERV, BIIB, VRTX, NBIX, PRCT, SWAV
5) 14:45 Stock Review – Watch List/General Ideas/Commentary: PI, HRMY, TMDX, UTHR, WING
6) 16:35 Conclusion/Summary

Market Summary:
The major indexes were recently starting to improve but the hawkish statements from the Fed last Wednesday led to a distribution week. The conclusion is the same. Don’t expect any sustained upside in the market until the Fed verbally announces that they are done with this interest rate hiking cycle. It doesn’t mean the market has to go down, as we could stay in a range for a while, but it does mean to remain defensive. By defensive, I mean having a larger than normal cash position, using lighter positions if you are going to trade, and making sure to stick to a loss-cutting policy when positions turn against you. Also, you can use index and sector ETFs to minimize single stock risk.

The main sector that continues to act well is Energy. If you are going to trade any of these names, make sure to get strong entry points. This is a VERY difficult market and I don’t want members chasing extended stocks. Again, please remain defensive and patient. If there are any important developments in between videos, I will be happy to conduct special webinars to review the market’s price action and to take questions from members. Enjoy the remainder of your weekend and good luck this week.

Unusual Option Activity:
11/4/22 S&P 500 ETF (SPY) buyer 30,000 Dec $358 puts for $17M adjusting $353 puts, likely hedge adjustment
11/4/22 Halliburton (HAL) with 1000 Jan 2025 $37.50/$40 bull risk reversals opened for $2.30 debit
11/4/22 First Solar (FSLR) opening sale 3000 January 2024 $125 puts $14.25
11/4/22 Humana (HUM) opening seller 300 May $430 puts $9.30
11/4/22 Guardant Health (GH) seeing 850 Dec 9th $55 calls bought at $7.40 offers, adjusting the Nov calls
11/4/22 Livent (LTHM) opening sale 3000 June 17.50 puts for $1
11/4/22 Apple (AAPL) opening sale 10,000 February $140 calls for $10
11/4/22 Advanced Micro (AMD) buyers of 3000 Nov. 25th (W) $59 puts near $2.27
11/4/22 PayPal (PYPL) seller of 3000 December $80 calls at $2.49
11/4/22 Zscaler (ZS) opening sellers of 1350 Dec 2nd $145 calls for $2.80
11/4/22 Datadog (DDOG) with 1500 Dec 23rd $50 puts sell to open at $0.92
11/3/22 S&P 500 ETF (SPY) buyers active this morning 25,000 December $353 puts for $16M
11/3/22 Russell 2000 ETF (IWM) January $200/$155 bull risk reversals opened 88,850X for credit of $1.23
11/3/22 Apache (APA) 2080 November $49 calls bought for $1.31
11/3/22 Devon Energy (DVN) with 13,000 Nov. 25th (W) 76 calls selling open near 1.16
11/3/22 3M (MMM) with a block of 10,000 January $135 calls sold to open at $1.88
11/3/22 Boeing (BA) with 2000 Nov. 11th (W) $150 puts bought $4.55 to $4.70
11/3/22 Palo Alto (PANW) seeing 1340 Dec. $150 calls bought 9.60
11/3/22 Oracle (ORCL) with 1000 March $82.5 calls opening $3.30
11/3/22 Amazon (AMZN) seeing a block of 2700 January 2025 $55 puts sold to open at $4.10