Following AMD’s somewhat disappointing earnings and forward guidance after the close Tuesday, options flow into the chip names slowed dramatically on Wednesday…
In fact, after seeing 17 AMD orders on Tuesday, we had a big fat ZERO in this major chip name as of 1:30 p.m. ET, even though the stock steadily climbed better than 5% from the overnight lows.
We did see one order in a name set to report earnings after the close today: Qualcomm (QCOM).
But this order is way too long-dated for my liking in the June 2025(!) expiration, $160 strike calls with the stock trading in the $145 to $148 range most of the day.
With 506 days until expiration, these calls were trading for a staggering $18.55… No thanks! We butter our bread with short-dated, cheap options around these parts.
However, keep your eyes peeled for a report I’m working on: my Top 9 Chip Stocks for February — coming soon!
However, we did see a much shorter-dated earnings play in Altria, which reports before the open Thursday, and a post-earnings order in General Motors as the stock surged as much as 4.2% Wednesday…
Wednesday’s Top Order Flow:
- QCOM Jun25 Strike: 160 Calls premium: $193,230 ASK BULLISH Trade Date: January 31, 2024 Trade Time: 9:51 am
- MO Feb24 2nd Strike: 40.5 Calls premium: $111,608 ASK BULLISH Trade Date: January 29, 2024 Trade Time: 9:36 am
- GM May24 Strike: 40 Calls premium: $219,342 ASK BULLISH Trade Date: January 31, 2024 Trade Time: 11:55 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. Interest Rate Hikes Have Started to Taper Off… We’re Bullish!
I know we’ve seen a couple of grim things in the news recently…
But despite that, we have FIVE reasons to be bullish about 2024:
- No. 1: Most of the worst-case scenarios have been priced in.
- No. 2: Inflation is moving back toward desired levels.
- No. 3: Interest rate hikes have started to taper off.
- No. 4: Many S&P 500 companies are expecting record profits in 2024.
On top of that…
My new Platform X is showing a small group of stocks that could shoot up at any time…
All of this is pretty bullish for the stock market.
And if you’re not already taking “bullish” steps, you may miss out.
While we will never promise future returns or against losses…
