RECESSION COUNTDOWN: 9 MORE DAYS
I’m going to start adding this little countdown every day until July 1. HOW COME?
Well, the official definition of a recession is “two non-growth quarters in a row.”
And we’re about to hit that exciting benchmark in just 9 days…
Gross domestic product declined 1.5% in Q1, and with experts predicting 0.0% GDP for Q2, July 1 would mark the official beginning of a recession.
This is why you need to be listening to Garrett every frickin’ day. Go right here.
Liz here with – you guessed it – a short pot trade from Mark. The great dad joke in the headline is his as well.
Full disclosure, I grew up on the wrong side of the tracks, which meant the smell of pot was constantly in the air. I asked my parents what that smell was one time, and my father said, “A skunk must have got hit by a car.” (I still remember the incredibly specific and effortless confidence of his response.)
I then spent the next good few years thinking to myself, “Why won’t these skunks stay out of the road?” and “Oops, there goes another one,” and “Skunks are dumb.”
I don’t feel like buying this image, so just imagine that you’re hallucinating the watermark.
ANYWAY, Mark also thinks cannabis stinks right now, and he’s got some shorter-term puts for you. Go right here to grab them.
Actually, I Bet This Recession Will Make People Smoke More
Based on data from prior recessions and downturns – when people increasingly turn to vice to feel better about the horrors of daily life – I’m going to do a little research and see if I can nose out a long cannabis bet or two for later this year.
However, today is not that day.
This is the day Mark goes short AdvisorShares Pure US Cannabis ETF (NYSEARCA: MSOS), based on some suspicious block trades.
“A trader was long the 12.50 puts, sold to close, rolled down to 11.50 puts, and bought more,” he said. “It’s an ugly chart.”
That big trade was short dated and expires July 1st, so Mark’s got something a little easier to get into.
“This is a piggyback trade,” he said. “Here’s what to do.”
NICKEL SLOTS: MARK
Action to Take:
Buy to Open MSOS July 15, 2022 $11.50 puts paying $0.95 or better.
Enter as a Good til Canceled (GTC) order.
I’ll be back tomorrow with a new BLEH trade, though not on air! As I get increasingly pregnant, it sounds like the Trading Today show will be replaced by something else on Thursday mornings.
Hang loose, and don’t get run over if you can help it.
June 22 2022