Hey, Graham Lindman here…
It seemed like all of Wall Street was watching Nvidia’s earnings after the close Wednesday, and the chip-maker did not disappoint.
Call buying was about 50% stronger than put buying heading into the report, which wasn’t surprising considering how bullish people have been on this stock.
NVDA bounced as much as 14.7% overnight before topping 15% this morning.
So I see two potential plays from here…
Option 1: The markets hold and go higher, which means we could see a multi-day rally on the back of this strong report…
In which case I’ll look to do an overnight wrap order on SMCI that expires Friday.
Option 2: The markets fold after being hit with mass profit taking — which I expect would happen quickly…
In which case I’ll be back to my original plan of waiting patiently for that pullback to bottom to start putting my cash reserves to work in a handful of stocks.
As of right now, it looks Option 1 is playing out in real time!
Follow along and join the conversation for real-time analysis, trade ideas, market insights and more!
Graham Lindman
Graham Lindman Trading
Telegram: https://t.me/+abM5RWRJKrpkNWI5
*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. Why August May Be the Best Time to Trade NVDA
Most traders don’t know this but…
Some of the BEST returns in stocks happen on a repeating, predictable calendar.
Most folks think the best time to jump on Nvidia is when it’s heading into earnings…
Or when the company launches new tech or when institutional traders are piling in.
Now I’m not saying they’re wrong…
I mean, I also anticipated Nvidia’s earnings announcement on Feb. 21.
But my favorite time to actually trade Nvidia is in August.
And it’s not because there’s some special news event that happens during that month.
Rather, it has to do with the market anomaly that’s caused the stock to go up on Aug. 9, every year for the last decade…
