On today's Flow Show, Steve Strazza and I discussed the two different markets we are each experiencing. He's experiencing one of great breakouts and follow-through. I'm experiencing one of frustration.
Same stock market, different results. That is information. We get into it.
This bull market appears to be on the verge of another leg higher and it might be led by the financials. We both liked the idea of finding alpha down the cap scale in smaller regional banks to participate.
Here's a daily chart of U.S. Bancorp $USB:
Today, the stock is printing fresh 52-week highs.
However, it should be noted that U.S. Bancorp announces earnings before the market opens tomorrow. This introduces binary risk that we need to be aware of and this will affect my position sizing (hint: trading smaller than I normally would).
But we're not going to let earnings keep us away. We feel it could be just the catalyst this stock needs to follow through on this breakout and make a run at $60 per share, or higher.
Here's the Play:
I like buying $USB March 50 calls for approximately $2.30 per...
Welcome back to Under the Hood, where we'll cover all the action for the two weeks ended October 11, 2024. This report is published bi-weekly, in rotation with The Minor Leaguers.
What we do here is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.
We use a variety of sources to generate the list of most popular names.
There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: a list of stocks that are seeing an unusual increase in investor interest.
Click here for a behind-the-scenes look at our process.
Whether we’re measuring increasing interest based on large institutional purchases, unusual options activity, or simply our proprietary lists of trending tickers, there’...
Today's trade is in household name that is emerging from a 3-year base and on the verge of new all-time highs.
Due to earnings on the horizon, we'll be utilizing a spread to keep our costs in check and take advantage of some relative high options premium in out-of-the-money calls.
As I've been writing about for some time now, it appears the crypto bear market is concluding.
We're in a bull market in traditional assets and stocks are still pressing higher.
I'm still bullish looking ahead in the coming months and quarters, but neutral in the short term as Bitcoin trades sideways in anticipation of a breakout.