Another day, another raft of volatility. Perfect for trading around our key watchlist levels with proper planning. We don't really care which way it goes, as long as we're prepared.
SPY and QQQ started the day with a premarket dump, but it didn't take long to find a bottom. In the morning session SPY quickly reclaimed the 462.5 watchlist level and then made a double bottom, offering a great balance of risk and reward. The 465 calls went from $1.50 to a high of $4.
Retail Turns the Tables for AMZN
Amazon (AMZN) is fairing well after better-than-expected retail performance. It's quickly turning into a buy over a sell. It has offered about 200 points of movement since yesterday's low. It gave us a little dip in the morning for a chance to get long right into one of our levels. You could have grabbed the 3300 calls for between $14.50 and $18 and seen them shoot to a high of $52 during the session!
LCID Takes Off
Lucid Group (LCID) is back on our radar as of the last few days. Some of our members noticed it was in a nice spot on the hourly chart. After an upgrade today it was off to the races. If you got long off the 41.7 watchlist level you could have taken the 42 calls for $1.70 and some them near highs of $3.50 or $3.80!
Looking for MSFT Continuation
Everyone on the team took Microsoft (MSFT) long at the morning dump into the 311 watchlist level, just in time for it to move nicely with the rest of the tech sector. You could have grabbed calls for about $2 and sold them for $4. We think we will see continuation on MSFT into the end of the week if the market holds up. They could potentially go to $10 or even $15.
Member Trade of the Day
Edumomo member JeranamoJumpin traded on LCID, TSLA, and Lululemon (LULU) for a 6% portfolio increase. Nice work!
I don't have any positions open overnight since CPI data will be released before market open and we cant do much with our contracts. We should get some range and volume again tomorrow.