It’s a busy, busy day with so much interest in my Perfect Tesla Trader strategy following last week’s big Cybertruck reveal, so I’ll keep this short!
The order flow is coming fast and furious as we look to break out of the holiday doldrums, and we saw an earnings play in software developer GitLab, which reports today after the close.
A big-money trader swooped in and scooped the Dec. 8 expiration, $50 strike puts with the stock up over 1% to 2% most of the day ahead of the report.
Shares of GTLB are around $53, so these puts are a few dollars out of the money…
Does that mean it’s a bad play? Not necessarily, but I would like to see it a little closer because out-of-the-money puts are usually a hedge against a long stock position in case the stock tanks on earnings — think of it as insurance.
But the trader paid above the ask, dropping a total of $264K in premium, and market makers are implying a move of just over $8 higher or lower, so these could be worth a dice roll!
Just remember to always respect the risk because if wrong, these weekly options will likely go to $0… fast.
We also saw some puts in Dave and Buster’s, which captures its earnings event on. Dec. 5, and some Uber calls after news that it is joining the S&P 500!
Monday’s Top Order Flow:
- PLAY Jan24 Strike: 42 Puts premium: $123,760 ASK BEARISH
Trade Date: December 4, 2023 Trade Time: 12:21 pm - UBER Dec23 Strike: 58 Calls premium: $113,200 ASK BULLISH
Trade Date: December 4, 2023 Trade Time: 11:43 am - GTLB Dec23 8th Strike: 50 Puts premium: $264,284 ABOVE ASK BEARISH
Trade Date: December 4, 2023 Trade Time: 11:40 am
Note: If no date is listed after the month, it’s the monthly expiration (third Friday).
Lance Ippolito Trading Team
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
*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. Tesla Has a Unique Element Most Stocks Don’t…
And it’s giving folks the chance to target money-doubling returns starting each Thursday afternoon!
I know that sounds crazy, but as you’ll see here…
There’s a market anomaly that makes this possible…
One that has been studied by Princeton, Vanderbilt and even the SEC…
And has been spotted on Tesla’s stock 23 different times in the last year…
The profits and performance shown are not typical, we make no future earnings claims, and you may lose money. The trades expressed are from historical data where the average return was 63% with a 6 day hold period and a win rate of 68%.
