 Welcome to Access to Trader, the number one community for those who are committed to taking control of their trading in order to achieve success, profitability, and longevity. Thank you for joining us. Here's Dan Shapiro to help you find your edge, master your process, and own your future. Hey guys, good morning everybody. Welcome to another weekend edition of the accesstrader.com update show. I hope everybody is doing well. We got the last several weeks left of the dog's day of summer, I guess. Again, for all of us, we've been pretty much locked away, right, like people that are sentenced to something for all this corona crap. It's almost amazing that summer is gone and most of the time you don't even comprehend that summer is actually happening because everything just feels like one big long groundhog day. But as much as, you know, there's a lot of crap going on this year and just incredible events over and over and over again. The one constant continues to be the stock market. Doesn't make a difference, right? We talk about this every week. It's almost like the same song and dance every week no matter what happens. The market is very, very strong. Again, bulls continue to go nuts. You know, they continue to rotate groups and we'll talk about a very, very important group that was actually affected positively this week and continues to be doing well. But I think the most important part of what we're seeing here is, you know, the ability for the market to sustain without materialistic news, without new materialistic news, which is absolutely great. Negating bad news continues to run into the fourth quarter, which continues to be incredibly strong. We have the elections obviously coming up as well, so that's going to be in focal point as well. But I think the biggest question was, especially going into this last, leading up to this last run-up in the bulls, was how is retail going to do, right? Now that the focus was shifted away from the predominantly tech-aggressive movers, you know, the Amazons of the world, the Teslas of the world, the Netflix, the Apple, so forth and so on, like how is retail going to do? Again, we know 40, 50, whatever it is, the amount people unemployed, 50 million people unemployed, how is going to be the consumer spending, right? Where is going to be the money flow? We see tons of small mom and pop businesses obviously suffering a lot. And I'm sure through any towns, all your towns that you've seen the effects of mainstay brick-and-mortar small businesses close down and they'll never reopen again. So the question was, how was the economy going into this quarter here, third quarter, how is it going to reflect, right? What are the big box makers going to do? What are they going to show, is their money spending, is the economy actually sustaining any type of growth, or not even growth sustaining any type of level of flatness with all these people unfortunately being unemployed? And we got that answer. And if you didn't think there was going to be more fuel to this bull market stampede, now you have materialistic facts. They're telling you that people are spending money. And again, obviously everybody knows about Amazon. And again, we'll talk about the individual pivots in a second, what I really like for this week. But again, the question was, what was going to happen with Target? What was going to happen with Lowe's? What was going to happen with Home Depot and Walmart's of the world? You know, can a big box retailer that again, obviously has a huge online present like Nike with their $250 sneakers, can they function in a society or an economy that 40, 50 million people are either out of jobs or just literally living rent, check to check? And we got all that answers. And the most amazing part, and as much as the Tesla continues to be the most amazing story, and again, the most hated stock in the history of the stock market, right? Whether you love it or you hate it, again, the scoreboard is the scoreboard. I mean, since, you know, you could go back to since last March, the stock was at $300. The stock touched $2,100 this week. It's just amazing. As much as this is the story, again, Main Street economy is the most important part. Again, Tesla could go away tomorrow. Facebook could go away tomorrow if people are not physically buying things, right? Like going to Walmart and buying milk, going to Target and buying groceries, right? There's actually not money being allocated in the necessities of life. That is going to be a much more important focal point than a Tesla, right? As much as I love Tesla. But that is the most important. And we got our answers this week. And if you look at earnings this week, you see the really great reports, right? Home Depot did very, very well. Lowe's did incredibly well. Look at this chart on Lowe's, man. I didn't even know this damn thing even existed to about 15 minutes ago, right? And I started looking at all these, all these retails, just absolutely unbelievable, right? Just really, really going nuts. Target had a monster blowout quarter. Blowout quarter, okay? You could understand a move like this in the Netflix and Amazon, right? But a target is just absolutely phenomenal. Look at Nike, right? Look at the run Nike has been on and continues to really take out all-time highs. And again, it really does show you no matter what the economic statistics still show, people are still spending money, right? And it really does prove that unfortunately, this is the case, the spread between the affluent and unfortunately the people who don't have money is huge, even wider than ever. And the most important part about the stock market, about where we are right now, not only is it continually, continually negating the bad news, the bad statistics, right? And forward growth for the next year and then no matter who the president is, now they're actually getting good news with economic spending. And again, the most important part of any economic is money flow, right? As long as there's money flow, especially in the brick and mortar names that obviously have a huge online presence, it is going to be a major focal point going into the fourth quarter. And traditionally, the fourth quarter, no matter what type of environment it is, is very, very strong. Again, it starts off with the Thanksgiving rally, right? The Turkey Day Thanksgiving rally spills off into the Santa Claus rally and then into the January effect. And usually, for the most part, you do have a very, very strong start to the first quarter. So again, the election is definitely going to be a huge part of what happens towards the end of the year. That's obvious. Again, no matter if you are a Republican voting for Trump or a Democrat voting for Biden, again, that is your business. But again, at the end of the day, it's all about our ability. It's all about our responsibility to make sure that we're good, okay? No matter who's in office, okay? It shouldn't put you in a situation that your life gets worse or better. If you're an adult and no matter what business you're in, no matter what line of profession, especially in the trading aspect, it should not make a difference who an office is. It's all about your process. It's all about your ability to use common sense, look at the market for what it is, not for what you want it to be, and go forward, right? Go forward like any business or intelligent adult. A monster, you know, a monster moves this week, right? Really, really monster moves. You're not going to see it, you know, you're not going to see it on the scoreboard, okay? And that's the most important part. The S&P this week was up, you know, a little less than 1%, 7 tenths of a percent. Again, linear move, all-time highs, that's great. If you look at the disconnect this week, and again, I always try. When I look at charts on the weekend, people always ask me, what do I look for? Even though, like again, I'm probably not going to participate in most names on the IWM, on the Dow, or I'm not a big Dow guy, okay? I'm Beta. I like Beta in special situations that have really, really good aggressive money flow. But I like to know where everything is. Again, I want to be over-prepared for the trading day, for the next trading day. Usually you would say prepare for the trading week, but this, you know, this market, this economy, this whole COVID universe is so fluid, okay? It changes on a dime, so you can't even prepare for the week. You have to really, really be prepared for the next day, over-prepared for the next day. So I like to look at order flow. I like to look at stocks in the IWM, the diamonds, and the S&P 500, although S&P obviously correlates and crosses with a lot of the Nasdaq 100 names as well. I like to kind of be informed where everything is. And you can see a notable kind of disconnect. You know, the Russell this week was Dow, okay? It was a Dow week for the Russell. And again, why that's important, and again, it's not life-changing. It's not super important that you're going to have to change your whole thinking into this week. But it is important to note that speculation money and smaller to mid-cap names were down this week, okay? People weren't chasing as much. There wasn't FOMO as much with non-beta names. We'll get to beta in a second. Also the biotechs, right? As much as every, you know, again, I'm not a big biotech guy, but I know what's going on. I mean, is there like 90,000 companies have released the PR since March about either a COVID vaccine, a COVID test, right? Every single one of them. And again, Wall Street loves to pay for potential. Okay, I think Tesla's the perfect example of that. But Wall Street also gets tired of listening to the same song and dance over and over again. It's kind of cool when like two companies are talking about this. But when you have Kodak, for example, that has gone from making camera film to making blockchain. They're going now into biotech into COVID, right? It gets a little stale and you can see how Wall Street has spoken. All these companies are coming out with PRs. Nobody cares anymore. They're really, really starting to sell off. I'm not starting to sell off has been pretty obvious here since the high of July 20th. So those are the areas you have to kind of see the market breath. And ironically, despite how strong the market was this week, and when I mean the market, I'm talking about the NASDAQ nearly 3% move, you definitely see breath. And I read somewhere, I think it was yesterday that day before, I read somewhere that Friday had a negative three to one decliners versus advances, which is obviously odd considering how much FOMO there is in beta. And I tweeted this out on Friday and I said, look, I don't know. I don't care what the rest of the market does. I'm in beta world right now. Beta is absolutely going absolutely nuts. There's ridiculous FOMO. Not only is there ridiculous FOMO, people are making bets so aggressively out of the money that it's almost obscene. They almost expect to get there. So for example, Friday, you saw a move to Tesla to 20, 2100. And earlier this week when the stock was like 1970, 1980, you saw 2,500 weeklies. So again, what does that tell you? It's incredibly aggressive area right now. Beta is an incredibly individual tribe. When one moves, they all move. And the one thing that I noticed into the middle part of last week and Thursday, Friday were very, very aggressive sessions. Again, we'll talk about the individual pivots. But this is a very copycat sort of tribe. For example, I'll give you a perfect example. All you guys who love football, if you guys remember like 10 years ago, the Miami Dolphins started running the Wildcat. You guys remember that? Like out of nowhere, they started running the Wildcat. And then pretty much every single team that year started putting in their own version of the Wildcat. It's a very copycat. And in beta, if you notice when one stock breaks out, it doesn't just go up a little bit. It's almost like one of those parabolic tsunamis that hit. So for example, when you look at an apple, right, and it broke out, right, Apple just didn't go up a little bit. Apple really, really went. If you look in the video, they did a great job this week. The question was, was the run-up warranted in the earnings? And the video had a phenomenal, phenomenal statement. Not only they negated their earnings session, that was sort of down four or five points. It went greener than a day and took out 52 week highs. And you can see here where the breakout started. Well, excuse me, right here. Where the breakout started and where it is now. So the one thing, and Zoom as well. Zoom has been a phenomenal trader. For all you guys who have been trading Zoom, this is pretty much a daily phenomenal, I mean, absolutely phenomenal trader has gone, absolutely gone nuts. So the question is, what happens next? And I think if you do trade big tech names, okay, and you go through the list. And again, the list is not big, okay? You can put the list on 10 fingers, okay? It's not big. You could figure out what's happening next. And if the market continues to be strong, and then the word if is a very, very big deal, you might get the next round of monster moves. So for example, Zoom has gone nuts, right? Tesla has gone nuts. And remember, Tesla has gone nuts. And it started going nuts from this 15, I call it the 1530 level, right? So it's gone really, really nuts. NVIDIA has gone nuts. So we're looking for the next round. And the one thing that I'm going to say right now in this type of environment, when these things do confirm, there's a high probability that it's going to happen. And the one thing that you're going to have to look for is deep out of the money option flow. And I want to show you guys that in a few minutes, people who are starting to make bets way out of the money, very, very aggressive call buying, and those are the stocks you want to pay attention to because when they go, and if this is truly a copycat league, the next round of candidates could perform a Tesla, a ZM, could perform a NVIDIA, could pull an Apple. So it's very, very important to watch. Like right now, there is no value on Tesla. Tesla is going to split, and we'll see how the stock trades. We'll swatch the liquidity for the first day or so. We'll watch the spread for the first day or so. We'll have a really good idea of what happens with the average to range. Obviously, the average to range is not going to be $70 a day anymore. So it's very, very important to watch. The same thing with Apple when it does a split as well. But I think going into this week, you want to pay attention to the next round. So let's talk about them, right? Look at Amazon, okay? So Amazon has taken out, and this is, again, the ability to understand what could happen next. So Amazon had this really, really big aggressive range that started all the way back, and I say all the way back, about a month ago, July the 21st. They kept on hitting this $3250, right? $3250, $3250, $3250, $3250. It finally broke out, okay? So now it's just kind of sitting here and playing possum. What I think is going to happen, and again, the one thing, before I even say this, I want everybody to understand something very important, okay? When we talk about something can happen, we're not making bets ahead of that event happening, okay? We are not guessing that it's going to happen. We're not trying to anticipate it is happening. We have to wait for it to happen because if you don't wait for it to happen, especially for all you guys who are trading in the options market, you know that if you anticipate a move because you're fighting time, your premium goes to death, okay? So it's very, very important before we even go on any further to understand that these stocks need to confirm, okay? And if they do confirm, there's a high probability if this market continues, they could pull a Tesla, Nvidia, Apple, or Zoom, okay? So I want to kind of make that clear. So don't anticipate. We're going to patiently wait for these things to confirm, but it's very, very important to understand the capabilities, what possibly could happen. And I'll show you kind of the option flow what I mean for that in a second. So Amazon, I definitely want to watch if not for Monday, obviously this week, first the sneaky area here, and once it takes out this 52-week highs, again, we started seeing for the last couple of weeks 3,300, 3,400, 3,500, 3,600, 3,700 calls. And then we saw September 4,000 calls being traded, I believe, on Friday. So this is definitely a candidate that can go nuts. Netflix, crazy call volume coming in on this thing for the last three, four days. Really ridiculous option flow. Although again, I'm not waiting for a trade to start out here, okay? Around here you want to start making some sales. We want to start watching this whole channel here, okay? Because again, if Netflix does wake up and you can see here, if you draw this imaginary line, if it starts breaking down this trend line here, this does a lot of room, right? Really a lot of room, and you can see your measure potential all the way to the 530s. And just because it hasn't run yet, makes it very, very attractive to kind of wake up. And again, you want to look at the laggards. You want to look at the names that have been former aggressive runners. Obviously pay attention to the out-of-the-money aggressive option flow, and when it confirms, that's when you potentially can have that next wave of really, really aggressive buying. Alibaba, great trader on Friday. Caught this thing very, very well. You can see it. Again, you don't need to be a professional, advanced, analytic human being to figure out, this damn thing looks good, right? Ridiculous call buying came in coming in for the last several weeks. They reported their numbers. They embraced their numbers. They negated their bad numbers, and they took the stock higher. And now we're literally a stone throws away its potential to start making a really aggressive run. Again, the reason why I'm using the word aggressive, because now we have a track record of beta names putting these aggressive moves. So it's not like anymore you're saying to yourself, well, if Alibaba breaks out, maybe we could get a $2 move. Now, because of Tesla, because of NVIDIA, because of Apple, because of Zoom and everything else, now you're saying to yourself, well, can this thing go to $300? Right? Is it possible? Okay? Same thing with Facebook. Again, we've been seeing really aggressive call buying. And again, I've started mentioning it if you've been watching this broadcast just all this week. This really unusual call buying coming in, the 290s, the 300s, the 325s, based on what? What is the deal? Are they buying ticked? What is the deal? Are they spinning off Instagram? What is the speculation money? Again, it's called speculation money for a reason. But again, it's something that we really need to pay attention to. So it's very, very important to get these stocks right in front of us. Forget about the Tesla. It's a huge run. Forget about the Zoom. It's a huge run. NVIDIA, huge runs. Can they get pulled and there's value to these things to the downside? I'm always conscious. Again, I don't trade with rose-colored glasses expecting a one-way ticket to stairways of heaven. I'm always conscious. Every single day, I always say, hey, let's keep an eye on these things. I have big rig runs. We don't want to get caught with our pants below our ankles. Let's stay very, very conscious. We get that part. But we're just kind of making notes for the stocks that potentially could go on big runs. The stock like Adobe as well. You saw a really, really aggressive call-buying come in. Again, let's watch this channel. The only reason it stopped a couple of days ago was this linear regression line. If this linear regression line gets confirmed, it's going to go. So again, it's an incredible market right now. We're seeing ridiculous, crazy parabolic moves and cult names. The economy now is actually being fueled with good earnings, which is an absolute important part of any type of quote-unquote bubble. People talk about bubbles all the time, but if there is financial ramifications, if there's a financial reason the market can continue, then all of a sudden, well, that bubble may not be a bubble anymore. So it's very, very important. So we have the setups for the week. We have the names that we really believe can be the next quote-unquote parabolic movers. And now the key is be an adult and wait for these things to confirm. Because if you don't, and I promise you, if you're getting along the $3,500 calls on Amazon and the stock is, you know, $3,275 and keeps on getting rejected off supply, you're going to lose a lot of money. You're going to lose a lot of money. Click again. It's not hope. It's not prayer. We need confirmation. So again, we have our course of action. We have our opinion. And now we're patiently waiting for all these things to confirm. So that's where I kind of am this week. I am kind of conscious of a lot of names that didn't rally this week. Again, if you've been watching this book broadcast, I've been putting in pivots to Boeing to the downside all week. I mean, Boeing just cannot rally. No matter what happens, Boeing is just, can't rally. Okay. A lot of names are starting to get very, very tired. But again, we want to omit those names. Again, you don't want to fight with stocks for 40, 50 cents to the downside when there's moves, potential moves in tens and dollars to the upside of one interval. So it's very, very important to kind of get our ducks in a row. Very, very good week. Friday was aggressive again. I think this week, again, specific names I'm definitely watching. Come Monday, again, very, very important guys. And I know for a lot of you new traders are still in the honeymoon phase of trading. Is it Monday yet? Oh, it's so romantic. That's great. By 9.35, you want to kill yourself. I get it. I was there too. What we want to do come Monday, we want to be very patient. We have our game plan. We have our opinion. We want to see everything play out perfectly, especially in the first 30 minutes. Let the first candle play out. We want to make sure that everything is lining up perfectly to our scenario. So let's talk about this. Some names, you know, did very, very well. Some names kind of stalled out. But again, it's very important to understand that every single trade that you put on, yeah, everybody wants that 300 point move on Tesla. But those 50 cents dollar, they only have $2 moves. They're pretty good as well. That's how you really, really build your career. And again, you don't want to romanticize the stock. It's only a piece of paper. Use it for what it is. It's a vehicle to put your account very, very healthy without making the amateur mistakes of falling in love with a company or a stock symbol. Very, very important. So Microsoft, let's talk about the pivots. Microsoft 215 needs to build. Here is Microsoft, right? It took out the previous days high of 215. Went to 216 and a quarter and then reversed. But again, the funny thing is, I'm starting to pay attention more to Microsoft. This isn't the old Microsoft that's going to trade in the 30, 40 cent range. I started watching this thing really in the last couple of weeks. It's been a pretty good trader. So I'm going to start putting this thing on my regular rotation. It's actually trading very, very well. I like the average through range in this thing. And it took a lot of time for that average through range to really expand. So it's something really, really cool going forward. Shop 1044 needs to build. Let's see, shop. I wasn't watching shop at all. 1044 looks like it traded at 1047 and then reversed. It doesn't look like there was a second entry in this thing. Yeah, you need a second entry. So it definitely wasn't no second entry. It took out that level. That's why, again, guys, very, very important. Always look for second entries. That's kind of the staple point behind the whole PS60 theory. Yeah, this was my first trade of the day. Where was it? Where was it? FSLY of all things. This was actually my first trade of the day. We'll get to these other pivots in a second. FSLY has been a pretty good mover. Pretty good move here. So $90 was the pivot. It was actually yesterday's high of $89.38. But I always liked to enter at the whole numbers. Gave a really good $2 move really quick. Very, very nice. Like, here's the whole pivot right over here and it stopped perfectly on supply. My last sale was at 92, literally, 19 cents away from the high of the day. So I was pretty happy with the trade. Considering I'm not really trading this thing. Facebook, we scalped, wasn't a big move. And I was very, very surprised. So we got long Facebook, right? I got long Facebook right over here on this 270 break. It only went up 50 cents. That's it. Only went up 50 cents. And again, guys, the one thing that's very, very important to understand, don't overthink where stock's going to go. It should have went to 72 in the upper Bollinger Band. And sometimes the stock is going to a stall. So if we get a pivot and it confirms, right, we know we're going to get cash flow. The question is, is the cash flow going to be 50 cents? Is the cash flow going to be $55? We don't know, okay? Especially for your new traders. Continue to take money on the way up and use break even on the way down. You could always reenter into strength or a 60 minute rising support. So it's very, very important. Again, don't fall in love with these stocks. They're only pieces of paper. I still like NET. Didn't come close. Roco, I still like, didn't come close. Apple, again, beast. Absolute beast. 477.50 needs to build. And Apple, again, that whole parabolic, just euphoria. So it took out this whole area here, 477.50. And the stock basically went to 500 bucks. Just an amazing, amazing move by Apple. It probably has one more day, maybe a blow off top in this upper Bollinger Band here. But it looks incredibly strong. Really, really strong name. ZM never got up to the 4.95 level. This is a really good trade. Chewie never got up to 58. Square, again, only a dollar move. I actually missed the move on Friday on the 52 week high. But I caught it the previous day. The previous day on Thursday, which was really, really good. 158.50 needs to build. Only gave a dollar move, which was I was very, very surprised. So it took out the 52 week high. And again, it only gave a dollar move, which is very, very odd. And that's why I'm saying this week, and I always say this, again, always remember, stocks do get tired as well. So you want to make sure when you are trading, especially at these levels, really, really highs, you want to make sure that if the stock doesn't confirm the proper way, again, you have to take money on the way up. That's your job as a trader. Use break even as you stop. And again, if you get faked out and continues to go higher, again, you could either buy it back at different levels, either into strength or into rising 60 minute support. Just leave the trade alone. That's fine as well. But again, don't fall in love. It's very, very important to understand that, but it's very, very odd that it failed. BABA was amazing. It was absolutely amazing trade. I got along this thing twice, very, very strong. I was actually surprised that it didn't take out 52 week highs on Friday, but this is what really started it off. 261.50 rejected twice, needs to build. And BABA went nuts. I mean, really, really good move here. So here's the 261.50. This is these two points of reference on the daily chart. So 261.42 is the high here. 261.29 is the high here. You get it. 261.50. And it exploded when right to 267.50. And again, this whole macro picture is right in front of us for Monday. So we want to make sure we want to pay attention. But BABA was a great trader on Friday. Again, Apple going nuts. And again, the video just doesn't stop. Look at these moves on the video. So this is the 255.50.496 needs to confirm. The video went absolutely bananas as well. So here's the 495.50, right? This whole channel here, 495.50.496. And went to 512, just huge. Just absolutely huge moves. So beta is just ridiculous. Again, you can't trade all of them like this. You have to trade the ones that are really confirmed, especially macro channels and heavy option flow. And I'll show you that in one second. And again, like I said, Apple is coming in, going nuts. Alibaba perfect. Microsoft again, 216 on deck. Good move there. Big level coming up. Yeah, I mean, I scalped Facebook. I scalped Facebook. Only went to 270.50. I was very, very surprised. The previous day was very good. But again, there's so much coal buying this thing. I continue to watch this thing. So you have these massive moves in Amazon, in the video. Amazon, the video, Apple, right? Alibaba is a really, really big action. It wasn't like the whole group went, but the ones that confirmed went really, really well. So just an insane move. Absolutely insane move. So here's kind of what I want to talk about, right? So if you notice, look at the coal buying. For all you guys who are going to ask me, this is Flow Algo. This is what I use for my option scanner. If you look at the coal buying that is coming in, right? Look at the names, right? Look at the money flow on these names. And these are the names we talked about, right? And Netflix. And Netflix, by the way, not only had an order coming in, one buyer coming in for $23.5 million premium, the previous day it also had like $25 million. Look at the coal buying continues in Apple. Look at Alibaba. Remember, it's right on the edge of breaking out. So look at the coal. Yeah, $34 million worth of premium hit just for Friday of deep out of the money calls. Again, that's when everything lines up, okay? It's CRM, like $22 million into weakness. And again, you can just go through the list, Amazon, so forth and so on. So my plan going into this week is definitely keeping an eye on the names that haven't broken out yet, whether they're macro channels or intermediate channels. I think that's where the value is. I definitely want to keep one eye open, make sure we don't get pulled, okay? Because again, you have to trade responsibly, not with the rose-colored glasses. If you're joining us in a live webinar this week, please get to Morning Strategy at 9 a.m. And if all you guys are trading us on Twitter feed, you will be obviously helped out at the beginning of the trading day as well with the early feeds. Guys, God bless. I wish everybody nothing but happiness and health. And with God's help, I'll see you all in the field tomorrow. Take care. Congratulations for putting in the time to take control of your trading. You're one step closer to owning your future and achieving the success you desire. Want daily trade ideas directly from Dan? Straight off his personal watch list? Unlock our free PS60 Vault, where you'll get nightly updates on pivot opportunities we're watching for the next day's session. Click the link in the description to get started today.