General Market Direction:
I will let the numbers tell the week’s story:
Weekly Market Snapshot:
| Index | Previous Week’s Close | Current Week’s Close | Change | % Change |
| Dow | 34,061.32 | 34,283.10 | +221.78 | +0.65% |
| SPX | 4,358.34 | 4,415.24 | + 56.90 | +1.31% |
| Nasdaq | 13,478.28 | 13,798.11 | + 319.83 | +2.37% |
After a torrid up move the previous week, the indices took a breather of sorts with the Dow up a modest 0.65% and the S&P up a respectable 1.31%. But yet again, the tech-heavy Nasdaq beat the other two handily with another impressive performance, up 2.37%!
Stock Performance of Options2Wealth Portfolio Companies:
| Company | Previous Week’s Close | Current Week’s Close | Change | Percentage |
| Intel Corporation | $38.14 | $38.86 | +$0.72 | + 1.89% |
| Tetra Technologies | $4.56 | $4.30 | –$0.26 | – 5.70% |
| Qualcomm Inc.• | $119.52 | $124.21 | +$4.69 | + 3.92% |
| Microvast Holdings | $1.42 | $1.39 | –$0.03 | –$0.99 |
| Upstart Holdings | $30.32 | $20.87 | –$9.45 | –$31.17 |
- Since I exited Palantir and added Qualcomm to my position earlier this week, I have taken PLTR off this table.
Now let’s check the performance of my O2W portfolio over the past week:
Options2Wealth Options Portfolio:
Only current open positions are listed in this table. Any position(s) closed during the week have been deleted. The available cash is the most current number.
| Company | Options | Quantity | Purchase Price | Weekly Close * | Price Change | Current Value |
| INTC | Nov 17, 2023 $35 Calls | 15 | $2.75 (Average) | $3.80 | +$ 1.05 | $5,700.00 |
| INTC | January 19, 2020 $40 Calls | 10 | $1.34 | $1.63 | +$ 0.29 | $1,630.00 |
| TTI | Dec 15, 2023 $5 Calls | 20 | $1.10 | $0.00 | – 1.10 | $ 0.00 |
| MVST | Dec 15, 2023 $2.5 Calls | 10 | $0.50 | $0.00 | – 0.50 | $ 0.00 |
| QCOM | Jan 19, 2024 $130 Calls | 9 | $1.80 | $3.05 | +$1.25 | $ 2,745.00 |
| UPST | Dec 15, 2023 $27.50 Calls | 1 | $5.20 | $0.35 | – $4.85 | $ 35.00 |
| Available Cash | $ 39.28 | |||||
| Total Portfolio Value | $10,149.28 |
*Bid Price
Options2Wealth Portfolio Snapshot (Week ending November 10th, 2023):
|
Current Week |
Previous Week | Weekly Change | Weekly % Change | Total Current Value | YTD % Change |
Avai. Cash |
| $10,149.28 | $8,493.78 | +$1,655.50 | +19.49% | $10,149.28 | + 1.49% |
$ 39.28 |
PHEW! I finally was able to claw the portfolio back above the starting capital $10,000! What a relief… 🙂
In my last week’s post I made the following comment about my O2W portfolio:
“I feel very good about my portfolio’s prospect this coming week.”
Glad it worked out the way I was hoping…
IMPORTANT NOTE: I plan on making substantive moves in the O2W portfolio in the morning (Monday). Will spell them out in a separate post.
Intel & Nvidia
Approximately 2 months ago, when I started my latest experiment trading stock options with $10,000, I, for my initial trades, allocated the largest percentage into Intel call options. The reason behind my big bet on Intel was that I believed that the market had mis-priced this semi-conductor behemoth. Though it was very bullish on Intel’s rival Nvidia, it was bearish on Intel’s prospects in the AI space. My stance was not anti-NVDA. I simply did not agree with the almost 8x market cap multiple that NVDA enjoyed over Intel: $1.2T for NVDA and $152B for Intel.
In the 2 months since I made my bet on Intel, the market-cap multiple between the 2 chip making giants is slowly starting to shrink. As of last week, NVDA’s market-cap is $1.11T and INTC’s market cap now is $1.61B and the Nvidia’s market-cap multiple over Intel now has shrunk to 6.9x.
|
Stock |
Closing Price on Sept 1, 2023 | Price on Nov. 3rd, 2023 | Price Change | Percentage Change |
|
NVDA |
$485.09 | $483.35 | —$1.74 |
—0.36% |
| INTC | $36.61 | $38.86 | +$ 2.25 |
+6.15% |
This past week was very good for NVDA stock price. The price is back to when I started following. With its earnings coming on November 21, 2023, and all semiconductor reporting positive surprises, NVDA’s may not be much different and the market may be telegraphing an explosive up move. However, the company has to continue outperforming the markets’ expectations or it will be punished severally. I personally don’t believe the company will disappoint… but we shall see…
Intel though is moving in the right direction…
Wish you all a Safe Monday!
karim
DISCLAIMER: I am not a licensed broker or securities dealer. All postings made here are strictly for my personal record keeping and in no way, shape or form, am I even remotely suggesting others to follow my Buy and Sell moves. Trading options is not for the faint of heart as one’s portfolio can move up, or down 10%-50% or more during a single trading day, so trade with extreme caution. Past performance is no guarantee of future results.
Full Disclosure: I own options in the stocks of companies mentioned in my posts.