LOW Trade on Aug 18, 2021 13:54 from Marius: Tradervue User Stock Trades.

This week more retailers reported for the corporate calendar. The economic calendar provided more data on the inflation and job economic developments. The FOMC minutes were released mid-week and the market reacted strongly to the known possibility of tapering of the bond asset purchase program sooner. Buyers returned into the the close of the week and monthly expiries. Still a mixed but strong market with the recent spike in the VIX.

Fundamentals In Play Analysis

Lowe's reported a y/y revenue growth for Q2 beating analyst prediction of a decline. EPS was beat with a FY22 raise in revenue guidance. They are also expecting 9B in share repurchases for the remainder of the year. Overall a more bullish tone in reporting against Home Depot's. Lowe's also has more consumer exposure than Home Depot's professional customers so the former has more continued consumer smaller project tailwinds. With Lowe's reporting, it had given the market more important information for the whole housing market sector.

Quantitative Analysis

Intraday Fundamentals

RVOL 4.70
AVOL 3.60M
ATR 5.43
Beta 1.33
Volatility 3.46% 2.12%
Short Float 1.40%
Shs Float 695.98M
Inst Own 77.20%
Market Cap 142.29B

Options Statistics + Tape Reading + Order Flow + Dark Pool Levels + Flow Sentiment

SI 6.256
IV 27.62%
IVP 26%
P/C 0.785
VWAP 198.63

Options Positioning

OI 4035 2285
VOL 1662 1218
Delta -.02 -.01
Theta -.08 -.04
Vega .01 .00
Gamma .00 .00
Prob T 4.75% 1.77%
Prob ITM 2.40% 0.90%
MMM +/- 5.28
IV Series 37.37%

Earnings Statistics

Technical Analysis

Trade Setup/Execution Grade + Risk (risk:premium) + Positioning + Size/Allocation Management & Review

(A/B) setup / (A/B) execution. R:P 1/3, conservative positioning, ~20% moderate allocation due to FOMC minutes reaction but overall bullish directional setup. Sellers stepped down prior day on HD earnings but market showed a failed breakdown and strong reversal on the reports. There was a clear sentiment change on elevated RVOL. If there was not a market catalyst also in play I would have sized up larger up to 30% and positioning close to 5+ delta's.