What a morning!
Two of the stocks we discussed during Wednesday’s “Trade the Close” event blasted off this morning, puts in Monster (MNST) and calls in TKO (TKO) — BANG!
MNST was also covered in Wednesday’s edition of this very newsletter, so be sure to tune in each day to see what’s hitting!
Which brings us to today…
And a couple of stocks set to report earnings that caught my eye are SoundHound AI (SOUN) and Akamai (AKAM), which both report after the close…
Both hit the scanner occasionally, so these orders don’t stand out in that regard.
But, starting with SOUN, we did see a hefty amount of premium invested — $434K.
Keep in mind that this is a penny stock, trading for around $5 a share, which means it carries even more risk than usual. It was also up nearly 19% today, so this trader could be looking for a downside reversion with the September monthly expiration, $5 strike puts.
This was a hot AI stock back in March, reaching almost $9 a share. But on the other hand, it didn’t even get above $2 a share until February. Market makers expect a move of $0.72 higher or lower on the earnings event.
This is a cheap play for around $0.75 a contract as of Thursday afternoon.
Next up we have AKAM, with traders grabbing the weekly and August monthly $90 and $87 strike puts, respectively — we love double whammies! Market makers expect a move of $12.13 higher or lower, so this is well within the current share price of $92.
Keep in mind, the weekly play can and will go to $0 if wrong or if the stock doesn’t move enough to the downside — respect that risk!
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.
- SOUN Sep24 Strike: 5 Puts premium: $434,230 ABOVE ASK BEARISH
Trade Date: August 8, 2024 Trade Time: 12:23 pm - AKAM Aug24 9th Strike: 90 Puts premium: $149,930 ASK BEARISH
Trade Date: August 8, 2024 Trade Time: 12:25 pm - AKAM Aug24 Strike: 87 Puts premium: $180,120 ASK BEARISH
Trade Date: August 8, 2024 Trade Time: 11:32 am
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
*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. What Does THIS Chart Tell You About the S&P 500?
The S&P 500 hit extreme panic selling levels early this week. Just look at this chart…
This means we could be heading toward the “Mother of all Pullbacks.”
Especially with the Fed potentially cutting rates as early as this September.
And if history is any indicator…
That means we could actually be heading toward a MAJOR reversal…
Just like the 194% surge we saw hit the Nasdaq starting in August 1998.
Fortunately, Graham has done the heavy lifting…
Leading to three main predictions for this leg of the bull cycle, including his:
- Top ETF.
- Top sector.
- Top stock.
Along with exact price targets and probabilities.
Of course, there are never any guarantees in the market. We can’t win every trade or avoid losses, which are part of trading.
But if we look at what’s happened in similar market scenarios…
We could be mere days away from some parabolic moves up.
If you have a few minutes…
And you know how important it is to make moves BEFORE market inefficiencies hit the mainstream…
