With most of the mega-cap companies behind us, we should start to see some cheaper options plays ahead of earnings, which is right up our alley…
We hit on a couple of winners from Friday’s newsletter, with ON Semiconductor and Nebius Group (NBIS) paying out nicely this morning.
ON reported before the open this morning and the stock was down as much as 9%, sending the Feb. 14 expiration, $51 strike puts we highlighted from $2.70 when the newsletter hit your inboxes up to a peak of $4.28 this morning!
And the NBIS Feb. 28 $36.50 calls went from $5.25 Friday afternoon to a peak of $6.95 this morning with shares bouncing as much as 6.5%!
The Lyft (LYFT) puts we covered are down about 14 cents today with the stock rising along with Uber (UBER), which could make for a nicer entry ahead of tomorrow’s report if one suspects LYFT will come back down!
As for what’s hitting today… let’s start with that good ol’ fashioned staple of Americana… Coca-Cola (KO)!
We saw two orders hit within a minute of each other in the KO February $65 calls with shares trading just above $64 and market makers expecting a move of $1.71 higher or lower on the report.
Next up, we saw a short bet in Lattice Semiconductor (LSCC) in the February $50 puts with shares trading just shy of $54 and market makers expecting a move of $6.45 higher or lower.
This could easily be a hedge against a long position in case the stock tanks on earnings. But we’ve also had success shorting these chip stocks, which have taken a beating of late, so that could continue here.
Finally, we have Leidos (LDOS), which is seldom if ever seen on the scanner, and the February $155 strike calls are just outside the market maker’s expected move $11.50 higher or lower.
This is a decent amount of premium at $244k, so does this buyer know something we don’t?
We’ll find out when the company reports before the open tomorrow. As always, respect the risk involved here — these short-dated plays can and will go against you in a hurry if wrong or the stock doesn’t move enough!
Order Flow:
*This is for informational and educational purposes only. These are not official alerts issued by Lance, but rather some interesting orders picked by the team at Lance Ippolito Trading.
There is inherent risk in trading. Trade at your own risk.
Note: If no date is listed after the month, it’s the monthly expiration (third Friday).
The team at Lance Ippolito Trading
Lance doesn’t want the CCP spying on him, so you’ll never find him on TikTok. Same goes for other social media sites, which are filled with impersonators, scammers and crypto bros.
You can only find him on his personal YouTube Channel — smash that Subscribe button! https://www.youtube.com/@LanceIppolito
And in his private Telegram channel: https://t.me/+-gVwEIwGJhplMTgx
Important Note: No one from The TradingPub team or any of its associated brands will ever contact you directly on Telegram.
*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. [LIVE AT 4 PM ET] How to See Market Moves BEFORE the Headlines Hit
In just a few hours at 4 p.m. ET, Chris Pulver is going LIVE to reveal something that could completely change the way you trade.
A way to front-run market-moving news before it even hits the mainstream.
Most traders wait for the headlines. They react after the story breaks — after the big move has already happened.
Chris doesn’t trade like that.
He’s spent nearly 30 years in the markets. Managing millions. Trading everything from stocks to forex to crypto.
And through it all, he’s seen one undeniable truth: NEWS moves stocks. Every time.
And the traders who win big? They’re in position before the news even hits.
That’s what Chris is showing today.
And if you’re serious about trading, you need to see this.
