Episode Summary: Markets RecapFriday's CloseTESLAOil Spill REGN, PFE, BNTX, NET, MTOR, MO Guests: Tim Quast, Founder & CEO, ModernIR and Market Structure Edge Twitter: https://twitter.com/_timquast MEET THE HOSTS: Dennis Dick Twitter: https://twitter.com/TripleDTrader Spencer Israel Twitter: https://twitter.com/sjisrael Joel Elconin Twitter: https://twitter.com/Spus https://www.premarketprep.com/ Disclaimer: All of the information, material, and/or content contained in this program is for informational purposes only. Investing in stocks, options, and futures is risky and not suitable for all investors. Please consult your own independent financial adviser before making any investment decisions. Subscribe to all Benzinga Podcasts at https://www.benzinga.com/podcasts Unedited Transcript Coming to you live from downtown Detroit. This has been zingers pre-market prep with your host Joel Kahn. And this is a vowel tile puppy here. Isn't it. And Dennis Dick I've bet the petty. I will buy the stock for pet with everything that you need to start your trading day. good morning, everybody happy Monday. Welcome to pre-market prep. I'm Spencer there's Dennis there's. Joel. Hope you all had a great weekend and slept better than I did for whatever reason I could not sleep all weekend, but we got some things to discuss on our minds. Question number one, how do we feel? Going into the last quarter of the year. We got some people, some of us are bullish or bearish, probably don't even know where we stand. So we'll talk about that on today's show, we'll talk Tesla, of course, at Q3 deliveries out over the weekend. And they'd be the estimates on that. I want to talk about the oil spill off the coast of California. There was a company at the heart of that that is publicly traded. So we'll get to that. Merck is still going on this morning. I want to talk about Merck as well. We'll get to your questions from our chat. Tim Quast will be on the show at 8 35 as always the founder of market structure edge. And before I throw out the Juul reminder that the next pre-market prep plus weekend extravaganza is not this coming weekend, but the weekend after. And if you're all like, wait, I, I didn't go to the last one. I don't know what to expect. Just watch this. Get ready. Pre-market so here it is trading from relationships, Hawk, hairs, trading sympathy, creating risk arbitrage, and then we'll even talk to social media. This is your chance to be there. How to increase the odds. It's going to dive into relationship based trading Pierce trading sympathy, trading basket trading risks, and get ready for the event on October 16th. You guys think we're fired up on the pre-market cup shell and be there October 16th for trading from relationships to, well, Hey, Hey. If I didn't get you excited, then you don't have it. And I just want to say we're calling it number two, but you don't need the prerequisite. If you didn't sign up for number one, you're going to be okay. It's going to start from, obviously we're going to start and you'll understand it all as well. So we're not just going to dive into content. It's not building from level one. It's talking different. So we're gonna go into some detail. I'm going to talk about no marketing, a lot of market neutral trading, you know, because in this environment long Olney, and we're gonna get into this discussion in a few minutes has really suffered. If you're a long, only trader it's been a tough year, but if you're an obviously, you know, if you can be a stock picker, it's still been okay in the market is still up. But I'd say in the last six months, if you're fading and you're going both ways and you're doing other things, some, some traders are having career years. I know Kenny, Quick's doing fantastic over there. I hit the bed. Um, you know, I'm doing pretty good too on my trading as well. I think this is my, I think that's my fourth best year ever. It's setting up to be so far. So it's up there. It's been a really good year for a traders, but as a swing trader, a longterm investor, my longterm investing portfolio has gotten nowhere in the last six months. It's just kind of sitting here and hanging out. And that's really because you look at the IWM overall and it's kind of gone nowhere and I'm long, only in my long-term. But as a trader, you kind of go both ways. You talk different strategies, you know, and that's what we're going to talk about. On October 16th, teach you, teach you different ways to look at the market. All that being said, let's look at the market and we'll get Joel's charts up on the screen here. I would do it this morning. We're done, we're done 14 and a half handles had a little fall through rally overnight 43 62, that your pre-market high that'd be a good number because that's 32 animals away. Got to 43 15 and folks, nothing there. I absolutely no reason for it to stop going there just a yo-yo market crude flat at 75 88 gold down five bucks at 70 17 53 20 a silver that's down 15 cents, 2238, Bitcoin Ethereum, Goldman opposite ways, a Bitcoin down six, 10, trying to work its way up to the top of a trading range, perhaps. And the theory and futures are up 14 or excuse me, $15 at 3,337. So Boyle boy, we we're doing some market talk right on the pre pre market show. And we got, we got some opinions, different opinions. I'll say, I will say I'm bearish, but I'll say I'm nervous. I'm nervous about this market. And my thesis is pretty much technically based and I don't like the way we ended the quarter. Right. We've had six quarters in a row. We were up, we barely eat out the quarter. Uh, number speaking, I mean, I could, could be convinced, you know, we hold 43 50, I'll flip to the bull side, but the other thing is. The overnight action, right? The whole time up in this market, the overnight action has been strong and stronger and holding the daily gains and adding onto them, maybe a little pullback, but now it just seems like there's just more rat. Like we come in in the morning and it's a fight. The market has to fight its way back up and then knock it back down at night. And then it fights its way back up. Whereas for the last six quarters, it was, you know, finished strong, open, strong hangout, maybe improve on the high. So that's what I'm looking at. Of course, we're coming into earning season, right. Q3 earnings season, and you get a bunch of good reports. I think you're also, you're losing some leadership here and I, I know you like to talk about a more diversified market, but you know, apple, I mean, that's pulled off and so I've looked, I'm just looking at the top components here, apple, Microsoft, man, it looks a little tired, a little tired. I'm glad you brought that up. Can you look at that? Amazon Amazon. I think this might be Amazon's worst year, maybe songs 2018. Uh, hasn't been great. It's been Amazon's worst year in, in quite some time. Yeah. I mean, this looks like a lot of shirts this year, where you had, you know, a little bit of a, you had the big run last year, and this has been a lot for a lot of stocks, a digestion you digesting huge gains from the previous year. I mean, Amazon had that huge drum from 2000 to 3,500. Maybe it was too much too fast where it was when zombie apocalypse was happening. We're never gonna go into a store again. Well, that didn't happen. So, but Amazon has still continued to grow. Amazon continues to still do everything. It's still remembered it's core. It's still, um, is a core position in my longterm portfolio, but there's so many charts, Spencer, that look just like that from this year. I mean, bring up the IWM, which encompasses every small cap stock, you know, 2000 of them there. So. Bring that up. And, you know, you, you see a similar chart. I mean, the IWM and Amazon really have nothing to do with each other, but it's the same thing. Huge runs 20, 20 back-half, 2021 digestion. I mean, you could even argue Tesla similar and it's a little more slapped because he had a really big run in February, but you've been digesting here in Tesla for a little bit too. So, I mean, I don't know what to say. This is what the discussion we're having in the pre pre market show is. Let's go back to the spa. Is this market, you know, is this the digestion period? And eventually we're going to start running here at the, you know, in the last month or two of the year, or is this the start of something, you know, where people are just tired of owning stocks for a little bit. I got to cash up there, you know, cause I, uh, the SOP cash, I mean, is this. I mean, look at that. I mean, it's just been, it's been basically straight up since the March low. Well you've had your dips and everything, and now you come down, I mean, 4,000, would it be the end of the world? If we came down to 4,000 in the SOP and consolidated, or even worked our way into, you know, 3,900 or 3,500, would that be the end of the world? No, I, I think that another good way to put it. I think that whatever upside here may be in the market, I think it's offset by the potential downside. And so what are you doing? Are you still, are you selling stocks? If you're there, you're just holding. I'm holding Warren Buffett is holds through it all. No, I'm not buying. I don't want to buy I'm nervous. I've never been nervous. I mean, well, he had, well, we had the, uh, you know, now we're not like, uh, pre COVID, like January and February nervous. Right. I was nervous. I'm not like that. I don't know. I mean, the market continues to prove bears wrong. Right. So why is this time going to be any different? That's right. That's what I asked you. Why you asked it to yourself, which is great. I mean, your thesis is you think, and you still the, that with Joel that we're going to be making new all-time highs by the end of the year. Yes. One so much on the fence. So go, go, go, go. Why the bed is at least one new, all time high, but at the end of the year, and it goes ba
