Weekday trades vs. weekend moves: I’m locking horns with Kane LIVE at 1 p.m. ET to discuss!
I’m sure everyone’s seen one of the biggest stories of the week, which is Palantir’s (PLTR) swift sell-off on Wednesday.
PLTR was riding high… until it wasn’t.
The Pentagon has been ordered to cut about $50 billion from its budget for the upcoming year, and PLTR is the beneficiary of a lot of defense spending — about 40% of its fourth-quarter 2024 revenue came from government contracts.
And not only that, but CEO Alex Karp announced he’s selling about 10 million shares — over $1 billion worth — by Sept. 12. Insider selling, especially on such a massive scale, could signal a lack of confidence in future stock performance.
These two events coming at the same time sent shares from around $123 to a low of $96 by the next morning. It has since rebounded almost $10 but still, a pretty big swing for such a widely traded stock.
And you know who — because someone always knows! — saw it coming?
These put buyers… and everyone who has the News Flow Scanner!
These orders all came in that day, including a couple of sizable bets that happened right before the big sell-off…
Those February monthly expiration, $125 strike puts that hit seconds before the news broke went from $3.08 at the time of purchase to a peak of $28.90 by the next morning — BANG! 🍾
Folks, the News Flow Scanner and Penny Options Dashboard have both been on absolute fire this earnings season…
So let’s see what’s hitting today!
Who’s looking for love? I am.
And I love hot trades.
You know who else loves hot trades? The GOAT, Nancy Pelosi.
That’s not to say ol’ Nancy bought these calls in Hello Group (MOMO), which owns China’s top dating app, but someone is all over these bad boys…
A trader today dropped over $260k on the July $8 calls after someone snagged the $7 calls yesterday.
We don’t generally like trades that far out, but they do capture earnings next month, and boy oh boy, these China ADRs have been HOT, with the iShares FTSE China Large-Cap ETF (FXI) surging over 20% year to date.
And unlike Nancy, these babies are CHEAP, going for about $1.20 this afternoon.
We’ve also seen repeat call buying in Hims & Hers Health (HIMS) this week with the company reporting Monday after the close.
Market makers expect a move of $12.76 by the end of next week, so keep that in mind… HIMS is also down over 20% today on this news, so that’s something else to consider.
Just remember to respect that risk because those short-dated plays can and will go to $0 fast 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.
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*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. Kane and Lance Are Locking Horns LIVE
Kane says he’s going to prove to me that even when the market makes ZERO moves…
Anyone can still target next-day payouts. And we’ll do it LIVE at 1 p.m. ET today, Feb. 21!
