The Market Can't Seem To Go Up Again. Palantir $67! What next?

Hey Options Trader,

The market can’t seem to catch momentum to the upside here. Many of the big tech names are seeing some nice downside action. Palantir, Tesla and Nvidia being the most important players. Why is this happening? Let’s dive into it.

Here’s what we are covering:

1. $QQQ and $VIX - Why are we trending down?

2. $NVDA - CES event not bringing the hype we thought?

3. $PLTR - Key opportunity

4. TSLA - Bonus Video Update

$QQQ and $VIX - Why are we trending down?

If you look at the charts below, you can see that QQQ is trending sideways/down to the lower bollinger band. The RSI looks like its heading to oversold territory. The key level i’m looking at is $505 for support. I don’t think we hit that level, but if we do, it should hold.

The reason I have this bullish conviction on the markets overall is because when you see the market down like it has been this week, but you see green sectors on the heat map below…

what we are experiencing is good ol’ sector rotation.

This means investors are taking profits from stellar names and rotating into beat up names.

If we were truly bearish…the whole heat map would be red.

The $VIX is definitely holding the $17-$18 level, but doesn’t look like a convincing fear spike to me. If we do breach $20, it will be time to go 100% in.

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$NVDA - CES Event Underway, But Where Is The Hype?

CEO Jenson Huang is speaking at CES 2025 and usually we see a positive reaction in the stock. Why isn’t that happening?

I believe the overall market is holding Nvidia back from reaching all time highs. Once $QQQ starts its run towards all time highs, we will see Nvidia at $160.

Until then patience is key.

I purchased 3 more LEAPS call options which brings my total to 7.

$PLTR - First Time Hitting Lower Bollinger Band In Months!

If you were looking for an opportunity to get into Palantir…this is it. Rarely do we ever see this stock breaching the lower bollinger band.

Cash secured puts, shares, or LEAPS call options all look good at this level.

My Thoughts & Strategy On Tesla!

Enjoy!

-Ryan