You’ve heard of “11:11 make a wish,” but nobody ever talks about “10/10 make a trade.” Why does 10 get the short end of the stick? I don’t get it, man. I just want to see my boy succeed in these challenging times. Okay, I’m way off track. I'm not sure what just happened there. Let’s dive in!
First, let us start with a CPI recap by Lawrence Fuller
“The core was 3.3 versus 3.2 expected.... so what - NOTHING BURGER. The Fed uses PCE anyway, NOT CPI. The core PCE is 2.5%. Fed policy changes work with a VERY long lag, so we are still feeling the impact of the rate increases from earlier. The disinflationary trend is not upended because we had a number on CPI that is one tick higher than expected.”
“Claims at 258,000 is SO LOW on a historical basis. Again, nothing burger. But it shows we are still seeing some softening in the labor market.”
Lawrence Fuller - founder of Fuller Asset Management
Notable Flow:
NXPI 0.00%↑ 195P STO 11/22 Exp
EBAY 0.00%↑ 75C 06/20/2025 Exp
NVDA 0.00%↑ 188C 03/21/2025 Exp
CNX 0.00%↑ 40C 04/17/2025 Exp
NXPI 0.00%↑ 195P STO 11/22 Exp
Vol: 3,000 OI: - Avg: $2.27 Prem: $681,000
This trader is bullish on the stock by trading 3k contracts at the Bid in a chain with no previous OI. The trader received $681k on credit for the total premium of the trade. If the stock price remains above $195 and the contracts expire worthless, he can collect the premium once the position is bought to close.
Semi-conductors remain prevalent with action each session, as seen in another with NXP. Being a leader in the automotive semi-market paired with increasing demand for EVs and autonomous driving tech, this sector remains robust with opportunities. The company reports its earnings on Nov 4th. There is a potential wager here on a good report. When looking at the chart, you’ll notice I used the standard deviation chain to display the long-term uptrend and the asset nearing the bottom of this chain, giving investors confidence in a good value entry.
EBAY 0.00%↑ 75C 06/20/2025 Exp
Vol: 1,513 OI: 298 Avg: $3.60 Prem: $544,495
This Whale added 1.5k contracts if calls are 13% OTM and have 253 days to expire. eBay will report its 2024 Q3 earnings on 10/23, when investors expect an EPS of $1.175 and revenues of $2.546B.
Although a household name like eBay is less popular on the exchange and is overlooked by investors, it remains a leader in the e-commerce industry for resale items. As e-commerce is expected to continue its strong growth trajectory, eBay is a major marketplace platform for various consumer goods and is a large beneficiary of this.
As eBay continues to refine its marketplace and expand its product categories, its steady growth and strong capital return policies could make it bullish heading into next summer. This trader seems to be in the same camp regarding the bullish outlook, with plenty of time to capture any notable moves from here on. Nice FVGs above with little resistance; however, it is important to note that the asset is 8% extended above the 10-week moving average.
NVDA 0.00%↑ 188C 03/21/2025 Exp
Vol: 21,772 OI: 2,216 Avg: $5.40 Prem: $11,749,234
This trader opened over 20k contracts, paying over $11.5 million for a 40% OTM strike. Whales tagged 02/21/2025 calls repeatedly opening different strikes, such as the 148C, 149C, 179C, 181C, and 186C. This call buying contributed to the call net premium spike, reaching its highest level in the past 14 days.
One of the most popular names, themes, and stories this year has been Nvidia, and it is also one of the NYSE’s best performers, YTD. The stock is breaking out again from a weekly bull pennant as it nears ATHs. I mentioned earlier how this sector is heating up again, and people are flooding back into these names in droves. The story is simple here: people see a dip, they buy, others end up chasing, and the stock price gets driven even higher from the fact. This trade is notable because of how far OTM the strike is. The entire chain has been getting pounded today ahead of tonight’s event, which could also benefit NVDA overnight if all goes well.
CNX 0.00%↑ 40C 04/17/2025 Exp
Vol: 10,764 OI: 15 Avg: $1.82 Prem: $1,956,398
This stock does not see a lot of activity in options. Today was the highest options volume in the past 90 days by far. By adding 10k contracts in a chain with barely any previous OI, this whale paid almost $2 million for this trade, which has 189 days before the expiration. We will see how much OI is stuck tomorrow when it updates.
No chart for this one, Jersace had to run early folks. Enjoy your day!
Thanks for joining us in today’s article on E-Commerce and Semiconductors. We hope you all enjoyed the read and continue doing so, as we are having great fun doing this. Likes are greatly appreciated, and I hope you all enjoy the rest of your week. See you guys tomorrow for the week’s recap.
All the best,
Kian, Jersace, Jon, & Lawrence.