 Hey, everyone welcome to today's update today is Thursday April 30th starting with the trade hacker question of the day This was posted in our community this morning And the question is how do I determine risk versus reward when deciding to close a trade or leave it on? And this was in reference to a trade that we have on an SPY This is a weekly double calendar trade and as you can see a couple days ago We got kind of a vol crush which made this made our little profit tent sink a little bit Now you got to be real careful even really paying attention to these risk profile graphs Especially on a trade like a double calendar, but what I want to show you is the reason we took it We always take these off when we have either one date expiration or zero days to expiration This is a very short-term trade. We only have it on for five six seven days something like that and so The point I want to make is you know We took this off earlier today and booked a little over a hundred dollars earlier in the day now Val has popped and prices come down so what we would actually have taken more had we waited till later in the day but the point is why do we take it off today as opposed to tomorrow and What I look at is if you go to your theoretical calendar and toss and we move till tomorrow What you'll notice is that yeah, we could book, you know another hundred hundred fifty dollars on the trade If it stage right where it is, but if it makes any move Down or any move up. We're basically gonna make less than we made today I've got these little hash marks and I just kind of place them Let's just look at it from right now's perspective showing if we could if we were to do this right now book Profit of 270. Well, what if it you know tomorrow? If it moved past this hash mark, we're basically gonna book less than 270 if it moves past this hash mark We're gonna make less than 270 and so we have this tiny little range from which to book more profit Then we could have today and so that's why I said the risk versus reward Just was not worth it to hold this until tomorrow Because we just got a tiny little range if we move outside that at all We would book less profit than we took off today now Obviously, you know, we booked less this morning and we could have booked more this afternoon But that's in hindsight now, right? So we never know that in advance So that is the reason why we took this off today as opposed to holding it till tomorrow The risk reward just did not warrant holding it. Let's move on to the rest of the market. What's going on? S&P's down 46 getting a little bit. I mean seem like a pretty decent down day But I mean it's just a tiny tiny blip, you know in the overall scheme of you know This monster move that we've seen to the upside and so you know again We're still anticipating more downside and think about this I mean they the jobless claims came out. We've now had 30 million 30 million jobless claims in six weeks. That's crazy. It just you know That the numbers for that amount of time in the 2008 recession I think was double check But I think it was less than a million or maybe a little over a million at this at this point in the six-week period So just crazy stuff a J crew big retail outlet for for clothing filed for bankruptcy I mean, I think we're this is just the start of Some of these retail and other businesses starting to file for bankruptcy I think we've just scratched the surface of the economic impact all these closures have had you know The NBA just announced they're done for the season You know, it's just crazy crazy economic impact in the fact that the market is rallying based on the the Stimulus dollars coming in. I mean they the government can't continue to keep giving more and more stimulus over and over I mean, how long can that last and so? Sad stuff, but unfortunately that is the world we live in right now So what else is going on? Well, we did a trade in Facebook Facebook announced earnings And if we take a look at Facebook it opened up above its expected move And so we have a very specific trade that we put on for that taught in our earnings class Now prices kind of bounced around but we anticipate that Facebook will start to trend up over the next couple days At least that's what our trade is anticipating. That's what benefits our trade So we'll see what happens and these trades these post earnings trades like this I don't think I've had a loser in a few years. I could be wrong. I have to go back and look definitely not with the alerts We haven't but these things are just super high probability trades earnings speaking of earnings So we had Tesla Microsoft and Facebook and eBay all announced last night and then after the bell today and then this morning before the bell We had Twitter McDonald's Some others and then after the close so right now Amazon and Apple and Gilead So let's actually go to the platform and see what's going on in these stocks starting with Apple So let's go to a daily chart and so that we can see the overnight action let's go to a five-minute chart and So far pretty muted kind of a little little dog and pony dance And then it's price is pretty close to where it where it closed now There's still the earnings call coming out so that that can also shake things up a bit But at this point just after the bell It's 12 minutes after the market closed and Apple's pretty close to where it started. What about Amazon? Amazon is down. So Amazon closed at about 2470. It's down to about 23 77 so the expected move in Amazon was about 126 So well within its expected move But but down nonetheless, so we'll see how that impacts the market. What was the other ones? I said Gilead and Well, that's the other one I want to look at so gilly. Oh you al won't look at that one too. So Gilead Obviously been in the news a lot with potential vaccines for the coronavirus Gild Closed at about 84 and a half trained about 83 and a half. So not much movement at a Gilead and then you al United Airlines I'm sure that they even announced. Let me see here Yeah, I don't know doesn't look like they announced They had it back here. That was yesterday. Hmm. That must be wrong. So anyway, so those are the earnings That's all I got for you. Everybody have a great evening and we'll talk to you tomorrow