Making $$$ on MFF + NVDA Earnings (oh my)

Yes, the team behind the hottest 0dte startup of all-time (self-proclaimed but actually true bc based) is back.

Why did they disappear?

We started writing the story (it’s on the extreme end of extreme occurrences), but realized we sounded like one of those spoiled whiny bratty kids with shithead parents too busy on their phone to do anything.

So we stopped.

That’s life.

That’s trading.

Take the loss, reset (dont tilt), then fk back even harder.

!v important! do not tilt. tilt leads to spiral. spiral leads to doom.

Buckle up because it’s going to be a big week.

We’ve got NVIDIA (the top performing stonk in the S&P500) reporting on Wednesday and then JPOW (pumpmasta) will be speaking from Jackson Hole on Friday at 10AM EST.

FK BACK PLAN FOR THE WEEK:

Big energy. Big moves. Compound wins. Cut losses. Leave some to run.

Are you feeling it?

Let’s go!

MFF LIVES UP TO ITS SACRED NAMESAKE AND WE MADE MONEY ON $SPY

Friday was monthly options expiry aka MopEx (when every option in the entire market is 0dte) and what’s commonly known around these parts as Max Fuckery Friday.

It did not disappoint with both very tradeable and very fuckery setups.

Just look at all of this activity on $SPY alone!

Insane day.

Let’s get into the fuckery.

Here we see a TON of unbelievably sized bear bombs fire off in rapid succession.

You get the tickles right in that special spot when you see them happen.

BUT…

BUT…

You have to remember here it’s MFF which means hundreds of billions or probably a trillion+ worth of options are expiring. On a normal day, this means the market is going down because there’s zero reason why the lizards would put on such a large trade.

But MFF is not a normal day. MFF is 1 of 12 days per year. So while it looks like a similar to setup to the month of gains in one day on the QQQ… it’s not. It’s MFF and it’s fuckery.

Next the market gods delivered for us.

Here’s how we traded it and what we were thinking.

(reminder we are low IQ degenerates and there are many people in the RIGD AI community that are much better at this than us this is our opinion only and you should probably stop reading)

10:12 - 643 BULL BOMB

Since it’s MFF (and even on FF) we are looking strictly at 500+ score bombs golden rule bull at bottom or bears at tops for trades to take. This comes as SPY is in the chop mode, you’ll see it highlighted below.

Again if it were not MFF - we would send it right now 50+ contracts. But it is MFF… no one has any idea what’s going to happen or where this thing is going next.

While the bomb fires at or near the low of the session, it’s not after a nuke or a big move down. We stay out of the trade.

note: we don’t always stay of the trade sometimes our degenerate nature overcomes us like the hulk when he get angry and we send it which works 100% of the time it works and 0% of the time it doesnt.

10:16 - 334 BULL BOMB

We’re thinking okay SPY has nuked a bit, but there were A TON of bear bombs earlier and 334 score is small size. This is probably a cute lil lizard named Trae trying to catch the bottom a bit early.

SPY rips up in the next two minutes and we think to ourselves god we are so stupid why didn’t we just buy both of those bulls at the bottom and make money like god intended.

But then it nukes again.

10:27 - 307 BEAR BOMB

Here’s the thing about lizards… small lizards (low score bombs) chase moves.

This bear bomb fires at 10:27 as SPY is moving down so the small lizard thinks, “oh damn oh em geee i cant miss deez gains let me put dis trade on right now.”

Big lizards (high score bombs) reign supreme. They’re at the top of the food chain and relish in being cannibalistic creatures that enjoy eating their own as much as they do retail traders.

Big lizards don’t chase moves, they make moves happen.

And they often do it at the least expected time (aka when your gut says one thing - the lizards do the opposite).

Just look at this thing… it looks like a failed breakout steps up stairs straight down.

But of course of course of course of course that’s not what happened.

10:28 - 773 BULL BOMB

The big lizards see the small bear bomb and think wouldn’t it be lovely if we put a bottom in now and rip this market higher…

This is where we take the trade and sized up in SPY calls with Monday expiry for a minor margin of safety (LOL).

We take the trade because it’s a 773 bull bomb after price has moved down and right after a smaller bear.

You can check the chart but SPY is never lower for the remainder of the session thanks to that god-like precise tag courtesy of RIGD AI.

Front-end execution was good, back-end execution was trash. We exited the trade in 13 minutes (total hold time) for almost $2900.

On one hand this is incredible for 13m of “work” using an application that only costs $99 per month (wow what a steal) but absolutely terrible considering we left no runners on and this would have been a 100% trade instead of 24.55%

We’re pretty confident we’ve written here before that we’re going to start leaving runners on for every bull on the bottom and bear at the top with 500+ score but you know RIGD AI is extremely idiot friendly but not idiot proof.

If you bought the $434 call 0dte option and did nothing except hold until the end of the day, you returned 96.73%.

(we are idiots)

But it’s good to see the community win:

not a bad way to live… (even if he sold too early).

BUCKLE UP A BIG WEEK AHEAD: LIVE BY NVIDIA, DIE BY NVIDIA OR BUY NVIDIA?

The stock market is so funny man...

Every company that matters has reported earnings except for one.

Of course the one that’s yet to report is Nvidia… the stonk that lead the AI rally that turned into a tech rally that turned into the DOW having a 13 day consecutive winning streak its second longest ever but really the longest in history because the 14 day streak happened in 1897 and they didn’t have computers back then so who knows how that shit actually worked.

But now maybe with inflation slowly ticking back up, interest rates staying higher for longer and no one using AI (except for RIGD AI ofc), stuff will start to matter again and the bubble will burst... a straight devil d down.

We’re three weeks into August and it’s been down only with SPY -4.35% and QQQ -6.54%.

And now Wednesday after the close we get $NVDA earnings… which is the event to watch for this week.

We’ve written extensively (if you can call it that) about NVIDIA’s CEO Jensen Huang and his PhD in pumpanomics.

First and foremost… Huang’s got the best nose in the biz. He’s like a truffle pig with sommelier sense for what the market wants to hear. The smallest whiff of a trend (remember the metaverse kek) and he’s repositioned NVIDIA as not only the market lead for development but oil the engine needs to run. Dude can callout a bottle girl across the club when she slips out the meagerest of farts. It’s seriously impressive.

This is why NVIDIA, the top performer in the S&P500 reports last.

Sniff out what the lizards want and spin the story to match the narrative.

We think (as low IQ degenerates who should not be trusted under any circumstance) the spin will need to be applied heavier than usual. No wax on wax off. Total wax job.

Here’s why:

When Microsoft reported (ALMOST A MONTH AGO!!!) analysts were looking for the impact of Artificial Intelligence on revenue.

Yea yea yea we all know generative AI is going to make everyone more productive or something but eventually and perhaps maybe even now the question is… do you make any money from AI?

Sadya basically said no.

CEO Satya Nadella said the company remains focused on “leading the new AI platform shift,” though its push to add AI features to its existing products — among them cloud computing services, workplace software and its Bing search engine — are not yet making an obvious mark on its financial results.

[ AP ]

Microsoft CFO Amy Hood then dropped the hammer…

Hood didn't mince words that there will be a lot of spending on A.I. before there’s a payoff. She said that for Microsoft's current 2024 fiscal year, ending in June 2024, the payoff would mainly come in the second half of the fiscal year.

“Even with strong demand and a leadership position, growth from our A.I. services will be gradual as Azure A.I. scales and our Copilots reach general availability dates,” she said. “To support our Microsoft Cloud growth and demand for our A.I. platform, we will accelerate investment in our cloud infrastructure."

[ yahoo ]

We’re in a situation where Microsoft, the second largest company in the world, is forced to say they’re spending money on AI but do not expect to make any money from it until Q2 2024. 

That’s after they said they’re charging $30/mo for their Copilot AI tool.

The market reaction to that news has been strong.

So if Microsoft can’t make money from AI… who can?

What does AI even mean?

Who knows… and that’s exactly where Mr. PhD in Pumpanomics in his signature leather jacket wants you.

Here’s a real quote from his GTC 2023 keynote:

Every single industry = how you get people to forget using traditional valuation methodology because if it’s every single industry then you have unlimited TAM (total addressable market) and unlimited growth.

Generative AI era = since investors are still trying to figure out what AI means and what it actually does for business, we’re going to throw another label on it “generative” and NVIDIA will be you know the number one player.

Here’s a real slide from that keynote:

It’s sad to think someone out there in the world (and not specifically us) is getting paid millions of dollars to come up with this shit.

Sustainability → Generative AI (what mean) → Industrial Digitalization (what mean)

It’s nothing new from NVIDIA. When we were locked down and forced to wear masks when we entered restaurants but it was cool to take them off at the table to sit and eat and it looked like the whole world was going to be no-leg prancing around in Zuck’s Metaverse… Jensen was pumping the NVIDIA Omniverse.

Currently the options market is pricing in a ± 9.6% move bears looking at $400 and bulls at $486.29.

Our uninformed low iq leaky gut opinion is if Jensen Huang isn’t able to pump NVDA past $500 on Wednesday after the close then the bubble is going to burst and we’ll see 350 on the $QQQ and 430 on $SPY.

The lizard people are surely doing everything they can to help a brotha out.

Nothing like throwing out a reasonable 80% upside pump before earnings on Wednesday.

STAY FROSTY!

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