Pre-market Live and Options Picks for 02 25 21

Good morning, traders, this is Jake from I am really glad to be alive this morning. I hope you take a moment to count your blessings. Trading is so easy. Trading is so easy and fun. There’s no risk. The mind is a very powerful thing. It believes whatever you tell it to be true. I’m going to blow up my charts here [01:33] for a minute. I’m on the ten-minute time frame.

I’m looking at Square, SQ. I like that it came down and tested this, you could see a double bottom, a reverse head and shoulders. I like the 250 strike price right here [01:56]. The 250 strike, this week’s expiration, this would be a day trade. I’m on the ten-minute time frame. I’m waiting for a little bit of a pull back. We could get a burst at the open. If that happens, oh well, tough. I’d rather miss a trade than FOMO. FOMO stands for fear of missing out. FOMO into the trade expecting some sort of a pump right out of the gate, and we don’t get it.

I’m looking also at NVDA. It is also a very hot stock this morning. I think it had earnings yesterday. It had a nice little push up to where, you guessed it, scene of the crime where a lot of overhead resistance was historically at around the 600 strike, I’m sorry, the 600 spot price, not strike price. Not really looking at this trade either. It moves like crazy. When you can catch this trade, the options move wild, let me tell you, wild. The 560 strike prices look good on any sort of dip buy opportunity maybe here [03:32] to this bottom. Look, if I draw this out you can see [03:36] we go all the way to here.

There’s a rhyme and a reason to all this stuff. It’s all mathematical and probabilities. Let me pull this up a little bit to there. See [03:47]? Quite the wide range. We have range on NVDA from 540 all the way to 600. My watch list is GTT. These are just day trades, guys. These are just we’re in, we’re out sometimes within 5 minutes, 10 minutes, 15 minutes, an hour and 30 minutes. [04:15] strike price that came up here [04:22] twice. Kissed it, came up here [04:26] a little kiss, back down. This [04:28] is after hours, and this [04:29] is pre-market. Actually, this [04:32] may be all after hours.

I mean, on the RSI I see something like that [04:44]. That’s not always a guarantee. I see some historic areas of turning around right around here [04:53] on the RSI on this name. Let me zero it out. Every time the RSI gets to here [05:00] we see a little bit of a reversal. When we have stocks that move sideways throughout the whole day, that really can burn your premiums on weekly expiration options. You need to get into an option and then sell it with weekly expiration options. There’s no holding. Look at this pull back all the way to here [05:18]. All the profit’s gone because you didn’t sell. Then some pre-market or after hours trading as well.

On the RSI, the best area to get these to buy – well, you can see here [05:37] this was all the way to the 20. Then we kept bleeding down. Anyway, the point is I like this area for a buy because the stochastic on the ten-minute time frame is where I like it. I’ll probably get the 250 strike price. I think it has monthly expirations. I don’t know if this has weekly expiration options.

What I was looking at was the options chain, March. Wow, that’s quite a ways away. Yeah, the 250 strike, we’ll see. The move may have been made.

Take a look at FSR really quick. We have an amazing group if you really think about it. This is our pre-market stock analysis. FSR, nice push yesterday.

The thing about this trading is there’s always going to be some stock that made some crazy monster move, some gap up monster move that you missed. It’s going to come on your scanner, later, after the fact. You’re going to say, oh, I wish I would have taken it. Don’t torture yourself like that. Focus on your strategy, your trading style. Don’t chase. Why would you want to chase a stock up here [07:53]? That’s just me. It works for some people, but for me I would want to get into FSR here [08:03] with weekly expiration options. I would have sold here [08:08] even if it keeps going. That’s when I would actually go on the year-to-date.

We’re talking about weekly expiration options. You don’t want to get hurt on these. These will really hurt you. Weekly expiration options are tough. They’re not tough, but they’re like lotto trades almost. Swing trades, you have a little bit more time to be right. Weekly expiration options are crazy. It’s like instant 20%, instant 100% profits, or instant 20, 100% loss sometimes. I try to stick with trading stocks that have a tight spread, the bid, the mid, the ask. I want it to be tight. With weekly expiration options, I want market, order, fill, buy; market, order, fill, sell whether that’s calls or puts.

Yeah, SNAP looks good. I just don’t feel like buying anything out of the gate. I will watch things if I see something that’s just screaming to me opportunity. Then I’ll buy it. It’s got to be a screaming deal.

People are messaging in the Slack about CCIV could come back today. Oh my gosh, that’s awesome. Congratulations to anybody who went long on Twitter. It was not even in my line of sight. I like SNAP today, AMC, BB, Square. I like BB because I’ve always done really well with BB. I’ve always made money with this stock. I never really had a bad experience with BB. One time I did, and it was a shame too because I was like, oh, it’s going to get the squeeze. I was up 100, 200%. Didn’t even think about selling one contract. Oh, it’s going to squeeze like GME, AMC. I lost my whole position. It was so frustrating. That was the only time I ever lost money on BB. Other than that, I’ve always had a good time. Yeah, every time I’ve traded BB it’s been profitable.

EXPR, I want to see what this stock is doing on the year-to-date. It looks like we could be going to ten again. When was this? Maybe not, actually, I think I’m just going to stay away from some of this stuff. I like Square, I like GTT, SQ. I like Square. Let me see something on the daily time frame. I like Square for a swing trade. We’re in February the 25th, so we’re almost at the end of February. March 21st would be a month out. Could get the March, or you could do the April 1st. Let me see something here [13:27]. I’m going to get rid of this [13:28]. I want to look at the March 21st and the April 1st. I want to get rid of the March 5th as well.

This is how it’s done. I hope you’re watching and really learning something here. I’m scrolling through here [13:52], extended hours at 240. Yeah, 22 days, it’s not quite a month. It’s three weeks. The 260s they look good, but so do the 240s, 260. Let me see something here [14:25], 240, 250, 260. Then in the April 1st, nothing. I like SQ for a day trade but also for a swing trade on the year-to-date on the daily time frame. It could dip a little lower.

Maybe you can get a starter position today, go out. I like right around there. You could get a starter position, the 250 strike, or get the 260. Go out March 21st and then go to the five-day, see what the ten-minute time frame’s doing. Where’s 260? I think Square’s going to be good because they own Cash App. Cash App, you can buy crypto and stuff on. I think the company is going to do good. A little high up here [16:07] for me. At some point, I need a low IV entry.

I really like SNAP, AMC, and COST. SNAP could be another good trade today. What is up with COST by the way? It’s almost 80-something percent up. I mean, just wow, these options must be moving crazy, absolutely crazy. I just want to see what it looks like on the five-minute time frame. I don’t know. It looks like it could just burst to 40 at the open, but I’m 86% up.

Let’s see something on the year-to-date. It’s a short squeezer. It’s basically pump it, dump it. It could go a lot higher. What’s the volume, 7 million? Let’s see SNAP. I want to see a comparison of things here [18:35]. AMC might be the move here guys. Let me just check BB and GTT. It’s a million volume.

That’s all I’ve got for today. Good luck. Let’s have a great day in the markets, nice, and relaxing, easy fun day with me, your favorite trader, Jake. See you on the charts and see you in the Slack.

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