Group 1: Goldman Sachs - Goldman Sachs is trading near its all-time highs despite bearish market sentiment and economic concerns such as potential GDP slowdown and government shutdown [3][4] - The proposed trade involves buying December 19th 775 puts and selling 770 puts for a $1.75 debit, indicating a strategy for a short-term pullback [5] - Technical analysis shows resistance at around 805 and a potential downward trend, with support levels identified at 740 and moving averages at 780 and 760 [7][9][10] Group 2: High Yield Corporate Bond ETF (HYG) - The HYG ETF is experiencing financial plumbing issues, with significant capital influx from the Fed and liquidity injections needed in repo markets [12] - A bearish trade is suggested by buying an 80 put for a 90 debit, indicating a strategy to capitalize on potential financial stress [15] - Technical analysis indicates support around 7975 to 80, with a downward trend suggested by moving averages and a declining RSI [19][20] Group 3: Amazon - Amazon's stock recently closed at a record high following a $38 billion deal with OpenAI, resulting in a significant market cap increase of nearly $200 billion [22][24] - The proposed trade involves buying January 16th 235 puts and selling 225 puts for a $2.58 debit, aiming for a retreat from the recent high of 260 [25] - Technical analysis indicates a potential fade from the gap created at 230 to 260, with support levels around 225 and 240, and a bearish signal from the RSI [28][30][31]
The Big 3: GS, HYG, AMZN