Daily Recap Live and Options Picks for 12 22 2020

Let’s go over what we traded today, start backwards with MRNA. I’m going to blow this up, so you can see here [00:20]. I’m going to blow this up so you can see. Why did I take this trade? I was looking for a little bit of a bounce, to be honest, a huge flush at the open. I was expecting a little bit of a dead cat bounce. When I saw it, we were about here [00:39]. Let me zoom in a little bit more. We were about here [00:42], about this 128.55 on MRNA, Moderna.

I saw this bounce. It comes down, holds it. We were green a little bit. Then they just – and I got the 133 cults, and then, yeah, they just took us to the house, just down. That happens. That’s trading, basic management, your position size. Then sideways, couldn’t get back above the – this [01:10] was support, broke support. Now it become resistance. Can’t get above it, and down she goes, lows of the day.

This [01:19] would have been a great area for entry on some puts, but we were so stretched from the 20 MA – the 15 simple moving average. I was really expecting a little bit more of a retracement here [01:31], 50% throughout here [01:34], 134, and we’d be $1 in the money calls. I’ve been right a bunch of times on MRNA. Today, I was not right.

Yeah, this is the low of the day. We’re looking for this [01:58] area, it’s a hold or break at the 124, 26. Yeah, we got 24 million shares traded on the day, high of 141, low of 124, wow, huge. I mean, what is this, $13 down day? Just incredible.

When this broke, it would have been the time for puts, and I would have sold here [02:27], bought calls, sold. No, I wouldn’t have sold here [02:31]. I would have probably broke even on this trade. Then it’s in this channel. It’s killing puts. It’s killing calls, killing puts, killing calls. Sideways, chop the action. You want this [02:47] action on weekly expiration options.

Let’s go into TDOC. Where are you, TDOC? Oh, TDOC, [03:07] there you go. We’re on the day timeframe on the five-minute. I was a little concerned about this earlier because it was sending up a little bit of a bull flag. It usually breaks up or it breaks down. This [03:27] is why I took this trade. We were over the 80 RSI on the five-minute time frame. Look at this, [03:36] we were peaking in volume and peaking in the MACD.

Also, you can see here [03:43] on the ADX, you can see we were pretty maxed out. This sucker is coming all the way back to the 50-day simple moving average on the five-minute time frame. Sure enough, we did it. We came back. I mean, we came all the way down to this 202. This [04:10] up down, up down, up action, this would have just killed your puts.

I closed the position, I think, here [04:20], here, probably here. It went down a little bit more, another whatever, 50 cents maybe. This [04:31] would have been another good area for puts because I guess who could have seen that? We could have also seen this [04:37] action grinding back up to the highs of the day. Again, double top, great area, too short, just doesn’t want to do it. TDOC’s really fun to trade, actually. It’s a slow mover, but I like this stock.

Let’s look at PTON. I almost traded Apple. I just couldn’t get in. I could only pick one trade this morning to get in at the market. Yeah, we got in here once it broke this upper channel. Then I think people sold here. We sold here at this 162. It actually ended up going all the way up to the 165. My channels were so accurate. A little bit over it, this is the time to get out. Twenty-eight million share traded, high of 166.23, low 155.04. Still not quite – we’re still live a little bit here [05:41]. We’ll see how things finish.

We’re below the 50 simple moving average on the five-minute time frame. This could be signs of a little bit lower prices, phasing them out. Yeah, we’ve got a lot of room to the downside. Markets, I believe, are a little weak. Let’s go into the SPY. We only took three trades. I mean, this was a 30 or 40% return. TDOC was another 40% return. Then I lost about 20% on MRNA, so it was a 60% day, not bad, not bad at all.

Yeah, I mean, Apple was a good one. I was thinking about getting in this [06:41], but I was too busy looking at PTON, buying the dip. We got right to here [06:49]. Here [06:52], broke this, went all the way to here [06:54], a little bit higher. I would have sold here [06:58] at the 133.64. I wouldn’t have messed around up here [07:04].

This is called a head fake. It’s like, bluh, and then all the way back down to the lows of the day. This little window, that first 30 to 60 minutes, it’s really easy to trade. If you want, you want, you could have gotten puts up here [07:22]. This is heavy resistance. Then, look, we’re already climbing back up out of this low day.

A lot of volatility today, guys. If you’re long, take profits because you’re at zero. If you’re short here [07:43], and it’s all the way back here [07:46], you’re screwed. You’re at zero or getting back to break even. Got to take profits in these markets. I would have gotten in some puts here [07:57], probably sold here [07:59]. This could have been the area for the bounce. We broke through it, hit this [08:05], broke through this [08:06, and pushed. I would have sold at the lows of the day on the short side.

Then I want to look at one more stock really quick, at FUBO TV. I’ll leave you with this, guys. Then sometimes you get really – oh no, we traded SEYE. I’m sorry, we had three winners today. This one was a 50% return trade. We got in right here [08:42]. No, we got in a little lower than that. We got in at about 21.33. I got the 21.50 calls, and boom, nice push, nice push. Kept going, kept going all the way to 22.69.

Congrats to those who held. I’ve held positions too long. I was green and ended red. I learned my lesson, guys. I get 30, 40, 50%, take the money and run. Head for the hills. That’s all I’ve got for you today, guys. Appreciate you tuning in. Thanks so much for being a member. I really do appreciate it. God bless, and I’ll see you tomorrow morning on the charts.

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