Amazon is Awesome

Tuesday, April 17, 2018

Netflix Up, Banks Down


  • Netflix retracted to 323 in the first few minutes of trading today before blowing through its all time high and hitting 339 by the afternoon. GOOGL took off like a rocket with very little retraction until the last 10 minutes of trading. From the action today in the tech sector we should expect a couple more days like this before a small pull back next week maybe. 
  • I noticed NVDA was down before ending the day up over 6. Tesla opened down 5 before going down to 282 from there it bounced and ended around 289. This was a reaction to them shutting down production on the Model 3 for a week.
  • Apple traded strong throughout the day coming close to 180 with very little pull back. 
  • Goldman Sachs has a great earnings report before the market opened and it was trading up 3 before the market opened. It along with the financial stocks had a quick pop in the first 20 minutes followed by a decline near the lows for the week. The movement was not substantial enough to warrant finding a pattern for option trades. 
  • Home Depot was up past 176 with the rest of the market and then came down to 174 where I noted to a colleague that the stochastic is showing that it is far over sold. We bought Calls with 175 strike price around $1 and sold them for $1.60 which was slightly early as it did reach $1.65. It did go back down as expected and finished the day around 175.
  • IBM traded up during the day with earnings to be reported after market close  As noted before that when something is up before earnings, it is more likely to disappoint with the earnings news. This was the case here as it dipped right after close.
  • Something I should have posted at the beginning of the week is the earnings calendar.

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