Mark’s Watchlist

A government contract, a softening stock, transports, and financials – we’ve got a large variety on our Watchlist today.

  1. Palantir Technologies Inc. (NYSE:PLTR)

People were afraid that PLTR was going to lose a government contract – but they didn’t. Quite the opposite, in fact. They got one.

If the market wasn’t down today, PLTR would be up big on this news. And I’m not so sure I trust this sell-off. It might be a pump fake – and we could see a turnaround before the end of the day that would make PLTR worth jumping on.

  1. CSX Corp. (Nasdaq:CSX)

Transportation stocks are on an uptrend… and CSX is quietly rallying today while the rest of the market swings lower.

Year-to-date, it’s up almost 8% – and I think this railway stock could approach its 52-week high near $36 soon.

  1. JB Hunt Transport Services Inc. (Nasdaq:JBHT)

JBHT isn’t rallying behind-the-scenes like CSX today – but it’s another strong name in the transport sector to keep an eye on, up more than 25% year-to-date:

  1. Coca-Cola Inc. (NYSE:KO)

KO has gotten cheap. In the past month or so, it’s gone from a $56 stock to a $52 stock, shedding almost 5%.

But this is a name I’m long-term bullish on. So if it gets any softer, I’m interested in getting in for cheap and going long.

  1. JPMorgan Chase & Co. (NYSE:JPM)

JPM kicks off third-quarter earnings season on October 13 – and after them, a slew of new reports will come through from the financials.

These reports are set to create a number of cheap option trade opportunities. That’s why

I’m going live for a special, extended earnings trading session on Thursday, October 14 for my Profit Revolution members.

If you’re already a member, stay tuned for the details.

If not, learn how you can join by giving us a call at 877.212.9163.

VIX Traffic Light

Volatility continues to flip around this week. The VIX is up again today after dropping on Monday and moving sideways yesterday.

Until we can commit to a direction here, it’s hard for our VIX light to be anything but yellow.

Remember – a yellow VIX light means we could see wild moves in either direction. And that’s exactly what we’ve gotten from volatility this week.

Today’s Impact Money Trade

I spotted an interesting trade on Ruth’s Hospitality Group Inc. (Nasdaq:RUTH), better known as the owner of Ruth’s Chris Steak House.

A customer engaged in a 9,000 contract trade, buying over 4,000 of the November $22.50 calls and hopping into the $17.50-$20 put spread, buying 2,500 of the $20s and selling 2,500 of the $17.50s.

Click To Enlarge

This three-way trade looks like some sort of modified strangle. They’re looking for a big move – either a breakout either or a sell-off lower.

If I see another trade like this, I’d hop on the RUTH train. But for now, I’m going to hold back until a little bit more info comes to light.

If an opportunity arises on RUTH, I’ll let you know. Keep an eye out,

Mark Sebastian



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