Overall, we have a lot of great plays a lot of interesting news for everyone in today’s video, so make sure to stick around for the end. We’Re gon na be covering earnings what’s, going on with the suez canal, um some hot stocks to watch and at the end of the video we have an 8.1 million dollar trade that expires this friday before we get started. If you are new here, don’t forget to subscribe with that being said: we’re gon na get right into today’s. Video uh tom will not be with us again today. He’Ll be back um, neither monday or tuesday’s video, so don’t worry about that. But uh just wanted to bring that up. So i’m i’m i’m on my own again today, but we do still have some important news, so uh, first we’re gon na be talking about what’s going on with the suez canal um. Basically, the ship is still stuck in the canal, um and it’s kind of uh, putting like a big dent in global trade. A lot of people are saying that it could take weeks to unblock this ship and there’s a lot of important things that flow through that canal. Like oil cars laptops, a ton of you know different things flow through that canal and it’s kind of causing a crisis in global trade. So that’s not good to see um if we go back to the chart of oil. These are crude oil futures and we could see how the past couple days has been pretty volatile um, but some people are expecting oil prices to rise um over the next couple days.
So keep an eye out, keep an eye for uh crude oil futures, which is slash cl on thinkorswim um. There are some oil stocks like exxon, mobil, chevron, um even like g usa, oh that’s, that’s oil and gas, uh etf, leveraged um, so just keep an eye on that and if we go back to um the web page right here, we’re on google maps, i just Kind of want to illustrate what’s happening, um let’s, say, for example, um a ship is leaving the southern part of india and they’re going to portugal um. Normally the person or the ship might take the route of going through the arabian sea and then heading up through the red sea and then going through the su west canal through the mediterranean sea to portugal, but since there’s so much congestion in the red sea. Right now, um, some ships are actually instead of just waiting out here in the arabian sea or red sea they’re, actually taking the long way around and going through or going around the southern part of africa and then coming all the way back up to get to. Where they want to go, and some analysts are saying that um, it could be like an extra twenty six thousand dollars a day um just to do this it’ll take like weeks to complete. So i just wanted to point that out. Um it’s a little bit of a crisis what’s going on right now, so hopefully they can unblock that ship as soon as possible.
But another thing i want to talk about is what’s going on with the vi ac stock um. This stock lost about 50 percent of its value. Last week, um there’s a lot of kind of like things around this stock um. The first one is just noticing how much it went up over the past year in the past year went from about 12 all the way up to basically 102, and they just got crushed. Last week um they announced that they are doing a three billion dollar share offering which will dilute the stocks. That’S, definitely not good, to see um, it directly hurts the the stock. You know it’s diluting um the shares of the stock by um doing the share offering to raise more capital it’s, not a good sign um. The next thing is, analysts are lowering their price targets and expectations for this company, which also isn’t a good thing, and then on friday, they actually had multiple circuit breakers. In the middle of the day. Basically, the stock price was falling so much they had to halt trading and you know just got worse and worse uh the selling pressure continued and it just had a horrible week. Uh d, i s c a is a very similar setup. This is discovery um. The charts look almost identical um for both of these setups i really like cash secured puts on them. Basically, what you can do is, since the implied volatility rose so much and the stock fell so much in the past week.
You can get a pretty nice win win situation if you don’t mind holding this stock for the long term, and when i say that is like let’s say we go to on the options chain that expires this week, you can sell well, the premiums were higher in The middle a day on friday, but let’s say you go to the 35 strike, put that expires on april 1st. You can get about 40. If you write this put or sell this put. Basically, what will happen is if vic is below 35 by friday. You have to buy a hundred shares at 35 if it’s at any price above 35, you keep your 40 in run. So, in my opinion, it’s a win win situation um only if you don’t mind holding uh shares of that company for the long term, um one you’re either going to buy the stock at a super low price which would be 35 dollars or two. You know you’re just gon na cl you’re just going to keep the premium in run. So definitely have your eyes on those two. For this week we might even see a pretty big bounce up uh, depending on what the sentiment is around open tomorrow, but there’s, a ton of volatility with viac and then dis ca, um viac has some pretty liquid options too. So it’s good to see like if you plan on you know like let’s, say it’s popping up tomorrow. Um there might be some opportunity for calls, so definitely keep an eye on that and then we also have two earnings: two interesting earnings this week.
Um. Let me pull up the calendar right here, so this is from earnings whispers and we could see um the two here’s, all the here’s, all the earnings for this week on the two that i’m going to be watching or actually the three i should say – is one Blackberry it’s, you know it’s one of the meme stocks. We all know that um so i’m just going to be watching it. I know that um in general, the meme stocks uh, they reported earnings. Pretty recently we haven’t seen any crazy movement. Gme had an amazing day on thursday, but besides that, it just meant a lot of uh back and forth back and forth a lot of consolidation across a lot of these meme stocks. So, unless bb just absolutely crushes earnings, we probably won’t see anything um amazing from this, but you know it’s just definitely worth having your eye or keeping your eye on um. The next one is chewy. This stock has done pretty well over the past year, one from lows of about 31 to highs of 120 it’s, really pulling back right now and we have a pretty um significant support level right around 75 dollars. So you know, maybe if it falls on earnings. I’D, love to uh sell some cash secured puts on it for the long term, but we might even see a run up before earnings and there might be opportunities to you know day trade calls or puts, depending on where the momentum is um.
Normally tom and i like to trade before earnings and after earnings, but not right before the earnings release, because it is gambling, no one can um accurately and consistently predict um what a stock will do after earnings, but there normally is opportunity to trade it before and After the release, and then the last stock i’m going to be watching for earnings this week is micron so mu as a lot of you guys, would know it by um. They have done amazing over the past year, one from lows of around ‘ to highs of 95 they’re in an amazing amazing sector. Um, their stock has been doing pretty well over the past couple years, and it just has a lot of potential for the long term. It had an amazing day on friday, up around 4.6 percent, so i’ll also have my eyes on this one um, so that’s the major news for this week. Um the main thing is what’s going on with the suez canal. You know you could say the meme stock earnings too, with uh bb and then also the uh very, very volatile stocks v i a c and d. I s c a so have your eyes on all of that. But with that being said, let’s get right into our member of the day and momentum plays for tomorrow. So with today’s member of the day we have angelo.stocktrader, he comes into the discord every day with a positive attitude and asks great questions.
Huge shout out angelo uh, keep working hard and thank you so much for your very positive attitude. Uh with that being said, let’s get right into the momentum plays for tomorrow and with the first one we have cisco, so csco it’s up around four percent it’s. Doing very well over the past couple months, if we look at an intraday chart, it has resistance right around 52 52 and like 75 cents, you can say so. If it breaks above that with momentum tomorrow, um i like it to the upside with the next one. We have home depot, which has been just doing amazing over the past couple weeks. If i go to a daily chart, home depot and lowe’s have just been killing it. Um they’re just exploding right now, so i definitely have my eyes on home depot. One thing to watch out for, though, is it is up a lot over the past month, so um, i really wouldn’t be surprised if we do see a pullback on the daily chart uh, but with everything going on right now it has a ton of momentum, especially Like intraday it’s been doing basically nothing but go straight up just keep an eye on this one. If it breaks around that 304 dollar level, it should be a good set up for an intraday play tomorrow to the upside with the next one. We have johnson and johnson uh you’re gon na want to make that one break around 165.
if it breaks. Yet. I also like it to the upside and then with the last one. We have snoww up around eight and a half percent today. If it can clearly break that 236 dollar level, it should be a good setup for the upside tomorrow. If we look at a daily chart, it definitely doesn’t look the best. If you are a fan of this company for the long term, it looks like it’s in a pretty decent spot to dip by so definitely check that out. But with that being said, let’s get right into the 8.1 million dollar trade. For this friday we are looking at baidu, and we are looking at the baidu 180 strike puts that expired this friday april, first so i’m about 8.1 million dollars put into this play, and i am uh pretty certain that they are shorting. These puts. If we look at baidu intraday um, they shorted they shorted the 180 strike puts which at this point are around 25 out of the money, looks like they’re, really just taking advantage of those high premiums. The implied volatility is just skyrocketing on baidu, so it looks actually like an amazing setup for cash. Secured puts so um, basically in in simple terms. Uh someone put about 8.1 million dollars into baidu puts they probably want these puts to expire worthless. So then they can keep that 8.1 million dollars, but in the in the scenario that baidu does fall, um they’re gon na pick up shares at an amazing price which would be around 180 each.
So it really looks like they’re short in the puts and they want baidu above 180 by this friday, but now let’s get right into the questions. From the previous episode with the first question, we have bravo saying: can you please take a look at e d? I t it’s been very volatile and i am down big time i’m trying to stick with it so i’m, not sure um. If this is like a long term investment and that what price you got it at or if it’s, just a trade um. So it looks. Okay, it’s making higher lows, which is always good to see it, has a pretty important support right around forty dollars, which has acted as a previous resistance level. Um. It looks like it is holding that forty dollar level uh, which is good to see in the future, though so like i’m, not sure what price you got this stock at, but in the future let’s say you picked it up by like 75 and you’re. Looking at the chart and you’re saying all right, it went from 18 to 75 in the past year i’m a little worried if the stock might fall in the short term but i’m bullish on it. For the long term, you can actually buy a put that’s pretty far out of the money. That has a lot of time. That can act as like an insurance policy. So let’s say you buy a hundred shares at 75, each and let’s say you bought like the 60 strike put that expires.
You know in like a couple months. Basically, when the stock falls, that put will hedge your position and you’ll actually make a lot of money from that put um that can actually help offset your losses from the stock. So, basically, if you’re, if you’re buying a stock, you can always buy, puts to kind of protect that position just make sure they have time, and you know, make sure they’re not too far out of the money um. So yeah definitely keep that in mind. With the next question we have matt saying i’m long on banks and selling covered calls in the meantime. Do you see any major pops with bank america, c, wfc or hsbc so let’s take a look at them. Um bank stocks have just been doing amazing over the past year. I picked up some leap, call options back in early november and those paid amazing uh bank stocks have a ton of momentum right now and i do like them for the long term um. But if we look over like the past year, like especially if we look at like bank america or c like they really did pop, they like see, for example, went from 36 dollars to what are the highs of 76 in the past? Was the past year. So um they are up a lot. I definitely would not bet against these bank stocks but i’m, not sure when you opened your position like. If we go to like bank america um, they are a little high right now so i’m, not sure when you opened your position um, i i do like them to the upside um, but they do have some pretty strong resistance.
Overhead, like bank america, has resistance right around forty dollars. C has resistance right. Around 76. wfc has resistance right around 41.50 and then hsbc has resistance right around 3150. So i like them um. I don’t love them right now. They do have some pretty strong resistance. So uh just be careful with that. With the next question, we have c saying uh what do you think of tesla? So if we look at tesla, it is in the middle of its range right now, so it has a pretty strong support right around 550 and it has a pretty strong resistance right around 700 right now, it’s at 621 dollars, so it’s, literally almost in the exact Middle of that range i like them for the long term um for me, ideally like. If they fall back down to 550, i would love to sell cash. Secured puts on them to get some uh. You know great win, win scenarios so um besides that i’m. Just pretty neutral on it, it’s literally in the middle of its range, so um, unless it pops down to 550 um, i wouldn’t do anything besides selling cash secured puts, but uh it’s, just it’s kind of not really doing it’s not really doing anything. Right now we saw that the nasdaq had a pretty strong day on friday and sort of the s p. 500. The spy was up around 1.6, so we do have a lot of momentum going into this week, which is always good to see.
We should see some good movement this week before i end the video. I want to point out that tom and i uh created a new channel for like live trading and live streams. Uh it’ll be the first link in the description down below feel free to subscribe. We’Re gon na start live streaming this week, so definitely check it out. More information will be posted um in the daily videos like you’re watching now, but yeah consider, subscribing and also, if you want to trade with tom and i every single day day, trade swing trades and access to our bots, you can click the stocked up. Options alerts link in the description down below for about 40 off daily day trades swing, trades and access to our bot.