Daily Plan 02.06.24
Good morning, traders!
Stocks are showing some mixed movements today, with some up and others down. Yesterday was an amazing day, but today seems a bit strange, so just be careful. We sold some NVDA 0.00%↑ yesterday, taking some profits. We also traded ASML 0.00%↑ in and out, so just know this.
Nvidia was at 609 last night, it. was 607 at 3 AM, while SMCI 0.00%↑ reached a high of 700-701 and is now lower. When SMCI stops, I don't know. Maybe it's today. When Nvidia stops, I don't know. Maybe today… SMCI is going to drop 50 to 100, it may drop 150 in one day. IN ONE DAY. Okay? Not saying it's today, but I'm telling you, some people are buying SMCI at insane prices and you're going to get killed.
Sam: Can I buy the 650s? I'm like, they're $40. Yeah, but it's going to go up. Yeah, so you may get $50, but they may be $2 so fast, they'll make your head spin. Okay, and if you've worked for four or five weeks of making a lot of money and you give it up in one hour, let me tell you, if SMCI would have dropped 30 points, it's going to drop 30 more in the next five minutes after that and you're going to get smoked. Don't do that. Nothing says it doesn't keep going. and you can sell and roll. Sell and roll.
Look, Nvidia, the reason we sold Nvidia because it was $6.20! We got from $4 to $6.20. If Nvidia today goes down to 690, that one we sold at six is going to be a dollar and a half. It's going to be $1.50! That's why you sell and if you want to buy the next one, buy the next one.
Snowman looks a little bit better today.
LLY 0.00%↑ all the way up to 740. Look at these Sam Beast numbers. Every single Beast number. Lily 603 goes to 640, drops for two weeks. 652… breaks, 652 goes to 740.
Nvidia 503 breaks, just goes up, goes up. You have 200 points on the break. I mean…
SMCI we have 303 rips to 350, comes all the way down to 300. We said the next beast, 356 beast, and it's up 300. Unbelievable.
META 0.00%↑ , if it can get through 471, it's going to go hit highs.
MSFT 0.00%↑ was up too, it's come down.
NOW 0.00%↑ , looks like it's close. If it can get through 792 and 800, it can go.
Tesla is just worthless. If you continue to buy TSLA 0.00%↑ calls early in the week, you're not understanding trading. There is no good news. Maybe it goes, but there is no good news…
Amazon people like, "Sam, is AMZN 0.00%↑ ready?" I'm like, Bezos announces he's going to sell like $86 billion worth. So on any particular day, he could start selling. So it's basically unplayable right now… OK?
But yesterday the market was boing because the news was so bad on BA 0.00%↑ and it doesn't break. So if it doesn't break, why would anything else break, right?
MDB 0.00%↑ , Cramer pumped MDB, we like MDB, but the earnings are still way out there and I actually think if this is going to go way up. But the problem with MDB is if the market, if Nvidia and SMCI would have dropped 30-40 points, MDB is going to collapse right back down and then he's just going to take out premium. That's the problem.
Lam Research, LRCX 0.00%↑ starting, looks like it wants to go.
And Adobe, ADBE 0.00%↑ needs to get through the 631.
That's what we know.
ASML hit 901 early in the morning and it's down.
Okay, so that's what's going on.
But guys, the techs QQQ 0.00%↑ are okay, but don't get silly. He's getting silly. I mean, what? When you start talking Nvidia, 50 points out of the money are $6 and $5. 50 points, okay? You can buy them, but you better sell them if you're going to do that. Sam waited and waited and waited till he seen it starting to move then he got in, okay?
Something that's down a dollar goes up a dollar is not a buy. Okay?
And that's what we know. That's what we know. That's what we know.
AVGO 0.00%↑ is trying to go. Broadcom is the next one because if Nvidia and SMCI are gone, AVGO and Adobe are two there and you got ASML and Lamb Research. Yesterday I posted a tweet saying Nvidia guided from 4 billion to 12 billion in revenue. They guided up by 8 billion, then the following quarter, he guided up by another 2 billion. Okay, on top of the 8. So he's up 20 billion and guided up. So who else has done that? Well, SMCI says 3x on the revenue and it's moved this much and then the other one is ASML guided, they had 3 billion, 3 billion expectation in bookings. They got 9 billion in bookings. That's six. Those are the three. Okay?
But the other ones when they start moving, you got Lam Research that can move because they're RAM and chips/memory. You got Adobe still can't get through 631 but if it does it goes.
And then we see, then we see, then we see. Okay?
Interesting. The PLTR 0.00%↑ CEO says they don't know what they're going to do. They got so much business they don't know what to do. Okay?
I mean, let me tell you, companies that are just dumb, they're just dumb. And they need to fix themselves. CHGG 0.00%↑ , we bought some, probably be just flat on those. I mean, they make cliff notes and all that other, that's worthless because if you have Chat GPT, who needs any of that, right? Nobody's buying that stuff so they're going to do bad. And then they say, "Oh, we're incorporating AI." So somebody's going to go to Cheggs website when they can go to Chat GPT or GOOGL 0.00%↑ or META 0.00%↑ , somebody else that has an AI. I mean, CHGG is going to $1. It's going to $1, no doubt about it. It's going to be just like PTON 0.00%↑ and stuff. Well, it should go to $1. Maybe it doesn't, who knows? It will over time.
So the companies, they knew this. The CEO knew this when he said last quarter, AI is taking all their business. So this quarter, instead of saying that, he just makes up, "Oh, we're going to go into AI." Interesting, right? Interesting, interesting.
There goes AVGO 0.00%↑ . Can AVGO have... Let me tell you, if AVGO takes out this 1286, 1287, that's a beast. It will go to 1310 stunningly fast. Oh my, are we smiling? Are we smiling? And that's what we know. That's what we know.
Okay, but be careful because nothing goes up forever.
TSLA 0.00%↑ didn't go up forever, but it had 2, 3, four weeks where it went up 800 points. So nobody's saying it's going to go down, but if it goes down, what are you going to do? If you go buy SMCI 750s, say you put them in at six, they go to 9 or 10 and you're still 60 points out of the money and you don't sell them, you get up to get a glass of water, you come back and it's down 50 and that option's a dollar.
Okay?
KNOW, what's going on…
And then we see, then we see.
Okay, let's get started.
Good morning, good morning, everybody.
SPX was down two. Okay, let's just assume it's down two, 4940. You got 4972. 4909 4900 a round number. Stocks go up, stocks go down. Then we see, then we see, then we see. 5000!!!
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