The chop continues, most of the moves are happening pre market and after hours. Only to head the opposite direction once the market opens. Meanwhile SPY sits at all time highs and QQQ is just a few percentage points away. Remember at the beginning of the month when everybody was shouting and screaming that September is the worst month of the year, haha, you have to love how the majority will almost always be wrong.
Once again this month has been a big one, thanks to just a couple of trades with China being the main money maker.
It’s once again a reminder that all it takes is one good trade, an asymmetrical bet. Oh and a fuck ton of patience and emotional discipline.
BMY received its FDA clearance and is currently +5% pre market. Meanwhile XBI continues to build out this weekly flag.
ARKG also saw a nice bit of action yesterday after one of its holdings ADPT surged 25%. It’s only going to take one strong catalyst to get this sector moving, which will likely be NTLA or BEAM clinical results. It’s worth noting that the short position against ARKG is the highest I’ve ever seen on an ETF, when taking individual holdings into account it’s like a stick of dynamite waiting to be ignited. The sector is hated and the fund manager is hated; What’s not to like.
$RDW I sound like a broken record but this setup is simply A+. Space names are moving and gaining traction which could create a theme. Meanwhile RDW trades at 1.4 price to sales with a market cap <$500 and growth rates over 50% in a market with a CAGR > 40%. With almost no institutional holdings, massive insider holdings and a tiny float. A lot of funds will likely be allowed to purchase once it reaches minimum requirements aka a market cap over $1bn etc.
$LLY Is the most over-crowded name finally ready to give up? A staggering 96.97% of the float held by funds, the definition of an extremely over-crowded trade. Good news has continued to hit the headlines yet fails to break higher.
Aside from that I’ll be taking today easy, it’s been another great week/month of gains. I look forward to seeing what October has in store.
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