WANT TO SEE MY WEIBO?

Markets are under light pressure this morning, but one might not notice this depending on what he or she owned in their trading portfolio. Today’s melt-up move is in WB. Most folks avoided this name as it seemed to avoid last months Chinese stock festival. However, you know I like stocks that lag, avoid, or fail to participate in moves in certain situations. Now, patience has paid off a bit and these calls are starting to work.

I’m still away from my office today, visiting the happiest place on earth. We’ll meet quickly for After Hours with Option Addict later today and discuss ideas for the week.

I bought CRTO calls for October and am thinking about shares of MY.

Make it a great one,

OA

After Hours with Option Addict members woke up to a festival of explosive moves this morning. This week’s watchlist is red hot, with big moves in WDAY, CRM, FEYE, CMCM, GOGO, GOOGL, TWTR, NMBL, IMPV, and DANG.

I’m looking at GOGO, NMBL and CRTO for entries.

I’m also traveling today, which means I will not be on any form of webinar. After Hours with Option Addict members, you’ll have to excuse me from duty today. Hopefully, you can play in a few explosive longs here today in my absence. We’ll pick back up tomorrow.

I’m sure you’ve also heard that Vegas is happening. Book flights for the weekend of November 8th. I’m outlining the schedule this week based on your responses to our content poll. Thank you for all that participated.

OA

The date has been set to Saturday, November 8th. We’re finalizing all other details over the next few days, including content and agenda.

On that note, if you are considering attending, please COMPLETE THIS SURVEY.

Have a good weekend.

OA

I know many of you are quietly or publicly shitting on my LULU idea. That’s ok. I quietly laugh my ass off every time you have a good idea too.

Listen, my idea has sucked thus far…as a trade. As an investment, it still looks promising. If you look around the retail space, earnings has been a pretty mixed bag. Right now I know you are asking yourself…”Hey OA, are holding LULU through earnings?”

Yes, I am.

While an upbeat report can jump start the stock a little bit, in all honesty, I thought we’d be a little further along with this idea by now. I used the word “investment” carefully when I presented the idea, but my biggest flaw in the execution was only buying a September expiration. However, at the time, September felt like an eternity.

Should you decide to keep this bitch into earnings, ask yourself how butt-hurt would you be losing the premium. If it would trigger tears, take the 50% loss here, like a man. Otherwise, hold onto your yoga pants.

OA

Each year I have offer an “outlook” at the beginning of the year. I use this as an opportunity to highlight some of my macro opinions, highlight some of my better stock ideas for the year, and lay out an overall game plan for what I think lies ahead for the market.

Back in January, I made two important macro calls. “Look for big upside in Emerging Markets, and China.” I labeled China my “wild card for 2014.”

Take a look at the Shanghai this year.

I view this move as an important one. The Shanghai has confirmed important market moves ahead of the $SPX. It topped before the $SPX in 2007, bottomed in 2008 before the $SPX did in 09, signaled the top/bottom in 2010, and signaled the 2011 top ahead of the $SPX. Granted, there has been an ongoing divergence between these two instruments for the last few years, but the rally here in the Shanghai is staggering, and is breaking away from a multi-year balance/range in the index.

The two instruments trending together in my career has offered easier trading conditions in terms of breadth. More stocks participate in the rallies. I would keep an eye on the EEM and FXI/$SSEC as they’ve been pretty useful in the past to predict market weakness/strength.

OA