Consider initiating a long position in Intel (INTC) to capitalize on potential mean reversion relative to the broader semiconductor sector. Avoid trading Micron (MU) zero-day-to-expiration (0 DTE) options due to extreme tail risk and high volatility. Be highly skeptical of short-term price spikes driven by promotional announcements, such as the recent NASDAQ partnership rally in Quantum / D-Wave (QBTS). Watch for tactical trading opportunities around corporate actions like debt exchanges, similar to recent events involving GameStop (GME). Finally, approach high-valuation stocks like Palantir (PLTR) with caution around earnings due to binary event volatility.

Tenex (TENX)

• The company is developing a drug called Levosimendan (also known as Simdax) for the treatment of heart failure.
• There are around 2,000 papers mentioning Levosimendan, and the speaker is reviewing roughly 50 key papers to understand the mechanism of action, key clinical data, and similar drugs in the same class.
• The speaker notes that it is a hard stock to short because the name is TENX.

Takeaways

• Conduct thorough fundamental research on biotech stocks, focusing on clinical data, mechanism of action, and historical literature before investing around binary events.

Palantir Technologies (PLTR)

• The company was reporting its quarterly earnings with a stock price around $125 heading into the event, boasting a $300 billion market cap.
• The speaker held an initial short position on the stock following the earnings release, citing concerns over total contract value (TCV) numbers and potential deceleration, though the company subsequently reported strong growth metrics including 93% year-over-year revenue growth, a Rule of 40 score of 155, and $1.22 billion in adjusted free cash flow.
• Management highlighted significant acceleration in US commercial revenue and total contract value (TCV) growth during the earnings call.

Takeaways

• Earnings announcements act as major binary events that introduce high volatility and execution risk for active short-term trades.

Intel (INTC)

• The speaker traded Intel live during the session as a long position, utilizing a market-making strategy (bidding and asking to capture spreads) and accumulating short inventory during intraday rallies before covering.
• The speaker expressed a generally bullish stance on Intel, viewing it as an opportunity for mean reversion relative to other semiconductor stocks.

Takeaways

• Intraday market-making requires strict inventory risk management to avoid outsized losses when a stock trends strongly in one direction.

NVIDIA (NVDA)

• The stock experienced a strong uptrend, trading up around 3% during the session while other semiconductor names like Intel remained relatively flat.
• The speaker notes that NVIDIA's outperformance relative to peers highlights a divergence in the semiconductor sector.

Takeaways

• Sector divergences can signal either a lag-and-catch-up opportunity in weaker peers or fundamental weakness in lagging companies.

Micron Technology (MU)

• Mentioned as part of the semiconductor sector that experienced heavy intraday volatility (initially down 5% before recovering).
• The speaker strongly discourages trading Micron 0 DTEs (zero-days-to-expiration options), describing it as a very high-risk strategy.

Takeaways

• Avoid highly leveraged, short-duration options instruments like zero-day-to-expiration contracts due to extreme tail risk.

Quantum / D-Wave (QBTS)

• The stock rallied due to an agreement with NASDAQ, but the speaker remained skeptical of the rally, calling it a "put up or shut up" moment and initiating a short position.
• The speaker views promotional demos from quantum computing companies with heavy skepticism unless backed by fundamental business delivery.

Takeaways

• Be cautious of short-term price spikes driven by press releases and partnership announcements in speculative technology sectors.

GameStop (GME)

• The company executed a debt/convertible exchange.
• The speaker considered buying shares around the corporate action event to trade the potential comeback, though they were not holding a long position at the time.

Takeaways

• Corporate actions such as debt exchanges can sometimes create tactical trading opportunities for short-term investors.