Schwab. Stocks are under some pressure here. Equities turned south at the opening bell. S&P is rejected from near 55 and Big Tech trying but unable to carry the market. Not enough green but a few names are Nvidia up on the morning got Tom I with me here in studio and Matt Tuttle joining from Tuttle capital Management CEO and CIO. Good morning Matt. Good morning. All right. So inflation this morning the highlight. But it seems like the market direction is still largely a function of tech. We try to bounce the last couple of days. What did you think of that action. Yeah I mean I think you got to be real cautious here. You know hot CPI slightly hot. I mean if we start talking about stagflation that's a problem. You got FOMC and BOJ next week. So I mean I think people are just being real cautious. And you're seeing that in the tech trade. The fact that Nvidia is up 3.5% doesn't hurt us this morning. What are you at on that stock right now I mean we love Nvidia. You know I is the theme that you want to be in over the next couple of years. And Nvidia is the big winner. You know we would still be buying any dips in Nvidia. And you know we see that in Nvidia where you know the smarter guys on the on the two X levered or you know they're buying the dips in that name. I love what we refer to the two X's as the smarter guys. I like that points for team beta. How is it going. The flow's still coming in. It seems like flows are still coming in. You know Nvidia and two x Tesla Tesla are still the, still the popular ones, you know, flows have picked up on Tesla as is Tesla, you know, has been doing really, really well lately, in fact we got Nvidia up almost 3%. Tom. So far not enough for us this morning. We're fading anyway, Apple though started off higher and that's been rough the last two days. It's closed positive the last two days. But it started off red. So I mean it's not a bad start for tech care, not for Nvidia. And it's probably not going to go down. Remember Jensen Huang, the CEO. He speaks at that, Goldman community tech conference at 1020 Eastern time. Nice knowledge there. That's why you're seeing some optimism in the shares here today. Even though the overall market is going down. He does kind of have that magic touch. He's a little Steve Jobs in that way lately right. We're like anytime he talks people are yep I'm sure he's not going to say anything negative at this point. Right. They still got a backlog of orders. Quarters are great year over year growth is slowing. But you know, these are didn't faze his commentary on earnings, which was very, very positive on Blackwell and everything. So I looked at that. If you think the stock's going to go up or maybe you're comfortable buying it at a lower price point, I looked at a strategy that takes advantage of that where, hey, you can buy a dip if it does go down, but then you take advantage of all the upside shares to look at a combo here on the October monthly cycle. So 37 days to expiration. We're going to buy the October 1st 15 strike call. And then to help finance the purchase of that call, I'm going to sell the 105 strike put. You're paying roughly about a buck for that maybe a little bit more. That debit that you pay is your risk down to 105. Right. But then anything above that break even of 116 is going to be profitability on this. So you've got over a month in this position, so you've got some duration and you take advantage of upside. Now if the stock does fall below 105 you have to buy the shares. If you if you hold that short put into expiration. So keep that in mind. This is a little bit more aggressive. But this is for dip buyers. Is that strategy for dip buyers. If you think it's going to go back below 105 hey I'm comfortable owning it down there. And my risk between 105 and 115 is only 100 bucks. All right. Fair enough. It provides a little patience to the trade. Yeah, of course you can just go scoop some two x, nvda x and get your, you know, double whammy if it starts to rally. But. All right, your option works, too, Matt, I'm wondering if you're tongue in cheek when you say you're looking for one indicator on when to sell Nvidia. I don't I don't know if it's how serious you are. Tell me about this. Yeah. No, I mean, you know, I wouldn't be I wouldn't be selling Nvidia at all here. Like like I said, I'd be buying the dips on Nvidia. Well I'm thinking you said I'm looking at your notes. You're saying you're going to buy dips until Nancy Pelosi sells. Oh yes. Sorry. Yeah. Watching her I want her I mean you know that that trumps everything. I mean, if Nancy Pelosi sells Nvidia then yeah I mean you got to get it because you know she knows something. The trade's up. I feel like you're not tongue in cheek by the way. I feel like you're serious. You know, I mean she trades on inside information. If she's selling Nvidia, you know she's got a reason. Well all right, the former speaker's, records pretty good. So trading it's better than really good. Yeah. All right, in terms of the group, though, what's your favorite right now? Like, when we look at the Giants, who seems like maybe they've still got the most surprise left. So for me, it's Apple. I think Apple outside of Nvidia is going to be the big winner when it comes to AI. It's going to take a while, but imagine AI on every single iPhone. You know your iPhone knows everything about you. You know put AI into that. And of course, I mean, they've got to execute, but put AI into that. And that's just a game changer. So longer term, you know Apple is my favorite of these names outside of Nvidia. What's their margin for error though is the only thing that, like haunts me when I think about the Apple bull case is they trade at their most expensive forward p e ever. So it's like it feels like this thing's just got to blow our minds, I don't know. So far. The b roll is like taking a picture of a restaurant and telling me the menu. I gotta go look in the window. Yeah. I mean, in Google's a good example of that because Google, you know, I mean, Google knows everything about us and you know, and they're not executing. And you see that in the stock price. You know, they're the only one of the Magnificent Seven below the 200 day moving average. So I mean, this is we're we're still in the first innings here. So much has yet to happen. So you know, we can look and see you know, hey there's potential. But these companies still have to execute and they're trading at such levels that if they don't you know you're going to see it in the stock price. Okay good point on alphabet being one of the weakest here falling below the moving average. It has really gotten hammered. That's good context, Matt, give me a quick Tesla thought because we're going to do some trading in Tesla. I don't know, kind of the chart seems interesting. It's done its own thing. At least it's not trading like anybody else. Chart seems really interesting. It hasn't been correlated with the overall market, like to see it get above the 50 day moving average and stay above there. But, you know, a lot of haters in this stock. I mean, you know, I don't like betting against Elon Musk. Fair enough. Alphabet. The weakest apple favorite buying dips in Nvidia and looking for Tesla to get above the 50 DMA. All right. Good stuff. Thanks Matt. Appreciate it. A couple of good thoughts there. And looks at the charts you're trading Tesla. What do you think Tom. October 10th robotaxi day. That's going to be the big catalyst for robo day. And I think that's why you're seeing this thing outperform as far as the tech space goes up. Have to get to recall. Yeah 4 to 5% so far this month. And you know the Nasdaq has you know been getting hammered so far in September. So take that into context. But October 10th I want to avoid that event. But maybe trade it ahead of it, maybe for some gains or at least some stability going into that October 10th robotaxi event. So we looked at the October fourth weekly cycle. So just about 23 days to expiration. You're going to avoid the event. But you can trade it ahead of the event and see what happens there. But I looked at selling it out of the money, put vertical a little bit neutral to bullish stance here, where I still give myself a cushion to the downside. But it's still a bullish directionally and looked at selling the 210 strike put and then buying the 200 strike put $10 wide short neutral to bullish put vertical collecting roughly about a $3 credit on it. And that takes my break even all the way down to 207 over the next three and a half weeks. That's 6% below the current share price in here in Tesla. So this might be the way to play it, where, hey, it's probably going to be volatile. It's got a higher beta than the overall market. We all know that it's a volatile stock, but this way it gives you the ability to take advantage of maybe a move higher or can consolidates here or even moves a little bit lower but remains above the 210 strike. And that's the idea in this type of strategy okay. All right. That makes sense. Selling puts spreads selling the downside I feel like that's a solid trade. Tesla has had enough outperformance to get it to break away in a positive way. Now for about a month running. So not bad for Tesla. All right