Hey Traders, Andrew here – it’s time for our weekly “1 stock I love, 1 stock I hate” analysis. Ahead of our Ticker Highlight Show every Monday at 10 a.m. ET, the Option Pit trading team gathers their favorite and least favorite stocks of the week. Then during our live show, Mark Sebastian uses his cheap options scanner to find an easy, directional options trade for one of these stocks – and we give it away for FREE. On Monday, we entered a trade in Alphabet Inc (Ticker: GOOGL) that is nearly double. I sold half and kept half. Waymo is worth a lot and GOOGL owns some of it.. You can view the trade in our free portfolio here. If you don’t miss out on next week’s trade, be sure to add it to your calendar here! Anyway, here are my picks for the week. My Short Pick: AAPL My oil pick worked okay, and it’s not an easy task to find a stock that’s a short candidate. But in a move that may shock no one, I’m going with Apple Inc. (Ticker: AAPL) again.  3 month AAPL chart with 1 day candles  10 day and 20 day realized volatility for AAPL Realized volatility is very low in AAPL,as investors … don’t care. The Powershares QQQ Trust is trading at all time highs, yet AAPL is $60 off of its highs. Mark made a good observation that AAPL was a flight to quality stock at one point, and with the bigger macro risks suddenly less so, my appetite for AAPL is less so. I see AAPL to the low 190s as traders take money and put it to larger AI growth. My Long Pick: ENPH Stocks are running the era of good feelings again. I for one want to stay on the ride. Enphase Energy (Ticker: ENPH) is a stock Frank Gregory and I follow in Capitol Gains. It’s had a rough sled as the bottom fell out after the failure of the Green New Deal to create … well, green for investors. The subsidies for solar might come and go but solar energy as a secondary energy source is here to stay. Nuclear power will take us into the 22nd century, but solar will help.  6 month ENPH chart with 10/20 day historical (blue) and implied (yellow) volatility The stock made a multi year low at $35 and has since moved higher. ENPH is a mover for sure and has not been below a 90% realized volatility for any length of time this year. I expect a mid-50s burst in the next month based on the ranges for stock alone. Be sure to join us Monday at 10 AM ET to see if my picks turn into a free trade opportunity! Add the Ticker Highlight Show to your calendar here. To Your Trading Success, |