Yo Pit Crazies,

It’s clear from the market action of 2022 that traders are expecting a recession. 

The Atlanta Fed is already seeing zero growth for Q2 and, coupled with Q1, we have net of two negative quarters of growth.

Markets held up on Thursday while gold did not, so the Fed will press on with raising interest rates for as long as they need to.

Meanwhile stocks are starting to climb out of the basement.

Let’s look at one.

Palantir Technologies Inc. (Ticker: PLTR) Is Quietly Making A Move

Oil stocks are down 20% from their recent highs even as oil prices stay relatively high.

Maybe they did not get the memo that Putin is cutting off gas to the EU … I digress.

PLTR is a stock I love to hate since I took delivery of some shares from a Trading Legion position a few months ago.

 I rolled puts all the way down to $8 and the stock seems to have bottomed out.

2022 chart of PLTR with one-day candles and-longer term IVs on the bottom chart

My compadre Frank Gregory says PLTR makes cool tech to help the drone battle in the Ukraine – kind of like Star Wars. PLTR is down 70% from the insane highs of last year and is a profitable company.

IV is at a three-month low in a market that is not at a three-month low in IV. Calls are cheap and I am going to roll out of my stock at this level and  buy some long-term calls (but up my overall delta for a fraction of the stock cost).

I think there are a lot of stocks like this out there, so it’s time to do a little bargain hunting.

If you want to check out the idea flow from me and Frank, jump into Capitol Gains

To Your Trading Success,

AG