Week ending 8/04/2024

The equity market was sharply lower in Friday trading. This was mainly due to an NFP employment report showing weak numbers. I believe election uncertainty is also moving the market down and will continue to cause volatility in the coming months. All major indexes this week were lower. The Russell 2000 posted its worst week since March of 23 which may mark this as a great entry point to IWM 9/30 $220 or $225 calls.

Degen play: IWM 9/30 $225 calls

Big tech was broadly lower this past week with AMZN earnings being a major driver. 4 of the Mag 7 stocks reported this past week and it was mainly mixed.

MSFT reported that Azure growth of 30% in q4 came in 2% shy of buyers expectations. The stock closed about 4% lower for the week.

META mentions a lot of AI advancements and showed how it is improving engagement. They also mentioned growth with whatsapp. Who the hell uses whatsapp? Dont cuck the Zuck though. The stock was up about 5% for the week.

AAPL pretty much said that this past quarter played out as expected. They outperformed consensus and revenue expectations. Their call was rather boring and didnt give much insight into what is expected for this upcoming quarter which investors did not like. The stock was up about 1% for the week.

AMZN did not do so great. They were 8% below 2Q EBITDA and about 11% below analyst estimates. Weaker than expected margins were partially to blame for the miss. They did announce that AWS acceleration was stronger than expected which could provide for a positive outlook in quarters to come. Guess prime day isnt that big of a deal. The stock closed down 8% for the week.

This past week if anything showed instability and volatility in the market. Last weeks degen play of a SPY 8/02 530 puts and VIX calls cashed beautifully and made up for the play of DKNG calls which didn’t prove to be a money maker.

This next week is going to be just as crazy as the past one and will likely have just as much volatility, but the degen in me says VIX puts. I dont have much else to say. Monday will show a lot about how the upcoming week will be.

Degen play: VIX 8/07 $20 Put

Degen plays: SHOP and HIMS calls

ABNB, UBER and SOUN puts

Thats all for now.