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Semiconductor Surge Sets Off Options Feeding Frenzy

by | Jan 24, 2024

I’m going LIVE again at 10 a.m. ET on Thursday for a Platform X presentation — and I’ll have free trade ideas to give away for those in attendance!

If you haven’t noticed, semiconductor chip stocks have been on an absolute tear… 

And the options market has been a feeding frenzy of traders feasting like a school of sharks on a whale. 

By 1 p.m. on the East Coast on Wednesday, Nvidia and AMD — the Great White and Tiger sharks of these seas — were up 4.8% and 6.8%, respectively, and the ETF that tracks the sector, SMH, was up 3.1%. 

The rally really kicked off Tuesday morning, right around the time we saw ASML Holding (ASML), one of the most important chip equipment companies in the world, hit the ol’ News Flow Scanner…

This came ahead of the overnight breaking news that ASML posted a 30% surge in full-year revenue. The stock bounced over 10% on Wednesday, and those call options were up $61.77 to nearly $78.00 a contract — a 415% gain*… overnight! 

That’s a bit too rich for this fisherman, who likes cheap options… But wouldn’t you know, we saw orders in AMD, NVDA and friends all day long… 

By 1 p.m. ET, we had already seen 15 orders in AMD, and 31 orders for NVDA — 31!!!

But these weren’t the only chip tickers at the party… 

We also saw orders in Oracle (ORCL), STMicroelectronics (STM), Applied Materials Inc. (AMAT), and our old friend Super Micro Computer Inc. (SMCI), which I’ve done a couple of videos about recently!

If you want to ride this wave, you have to check out the News Flow Scanner!

As far as earnings for tomorrow, we saw some Caesars Entertainment Inc. (CZR) calls hit this afternoon with Las Vegas Sands reporting after the close.

We also saw some calls in ServiceNow but… I wouldn’t touch these things with a 10-foot pole. Sure, the order might be great and could crush it. But these Feb. 2, $775 calls were going for around $22.90 a contract at the time the order was placed. 

And I’m fishing for cheap options.

Wednesday’s Top Order Flow: 

  • NOW Feb24 2nd Strike: 775 Calls premium: $359,510 ABOVE ASK BULLISH
    Trade Date: January 24, 2024 Trade Time: 10:17 am
  • CZR Feb24 Strike: 40 Calls premium: $281,680 ASK BULLISH
    Trade Date: January 24, 2024 Trade Time: 12:03 pm
  • AMD Feb24 2nd Strike: 182.5 Calls premium: $202,500 ASK BULLISH
    Trade Date: January 24, 2024 Trade Time: 11:38 am
  • NVDA Feb24 Strike: 635 Calls premium: $1,905,753 ABOVE ASK BULLISH
    Trade Date: January 24, 2024 Trade Time: 12:33 pm

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. The profits and performance shown are not typical, we make no future earnings claims, and you may lose money. 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 towards its 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… 

Get the Full Scoop on Platform X Here

WRITTEN BY<br>Lance Ippolito

Lance Ippolito

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