BY MARK SEBASTIAN
August 19th, 2025
Dear Money-Maker, Mark here.
Today’s tech selloff isn’t chaos – it’s opportunity.
While everyone else sees Nasdaq down 1.4%, Nvidia -3%, and Palantir -9% as market mayhem, I see the perfect hunting ground for 200%+ returns.
This is exactly what I called this morning on our State of the Market show: a classic “gap and sit” environment that zero DTE absolutely devours.
The Setup That Everyone Missed
Here’s what I saw coming that the crowd didn’t: After that massive 72-point S&P move on August 12th – nearly double what the market was pricing in – we’d settle into exactly the kind of tight, grinding action that separates the pros from the tourists.
Think about it like this: The market just had its big emotional outburst. Now it’s sitting in the corner, exhausted, moving in predictable 20-point daily ranges. That’s not boring – that’s a goldmine.
We’re seeing textbook inside day action with VIX staying low.
This is the environment where I expect to hit 80% of my zero DTE trades instead of the usual 50%. It’s like fishing when all the other boats went home because the water looks “too calm.”
Why the Fed Fumble Created Our Edge
The Fed funds probability shift from 94% to 83% rate cut odds is creating exactly the kind of measured, range-bound trading that makes cash zones devastatingly effective.
No major catalysts until Thursday’s PMI data and Powell’s Friday speech means we’re in that sweet spot – enough movement to profit from, but contained within predictable ranges.
It’s controlled chaos, and controlled chaos is where option pit veterans make their money.
As I told our zero DTE members this morning: “Be ready to put money into this market because this is gonna be a great week to trade.”
The afternoon action is proving that thesis right.
The House Always Wins When Others Panic
Remember what I always say: We’re trying to be the casino, not the gambler.
When everyone else sees choppy, difficult markets, we see the perfect conditions for consistent profits on controlled risk.
That’s the power of reading market mechanics instead of just reacting to CNBC headlines.
While retail traders are getting whipsawed by every Nvidia tick, we’re setting up cash zones in the quiet middle of the day when the real money gets made.
The tech selloff? That’s just noise. The 20-point S&P ranges? That’s a signal.
Time to show this market what professional zero DTE execution looks like.
Your Only Option,
Mark Sebastian