as i told the judge when he sentenced her, she's probably not gonna stop. i mean, she'll be 70 years old when she gets out. hopefully, i'm wrong. i really hope i'm wrong. -- captions by vitac --

of course that is also going to mean there's higher copper demand and we have china all of those things together and ' the long-term that's a positive for copper and it's a positive fori]ó[■ companies tha produce it. >> i wonder if thelp tighteningá credit will financ projects, a lot of financing from mid-tier banks.lp ÷ôi] i wouldqe$ápv copper isfá returningñi xde1but, again, the great industrial metals index which has copper, iezickel, aluminum and ñ/szinc. and if you werenb■t(e1 to/< it's struggling, tryingxd to no get worse. i like gold better, of course. i think peopleçó know that. if one is going to traffic in

1i■ met! >> all right.e1 ■fá to come, netflix's stream come too far too fasz for everythingt( "options actio check out our website and &háhp &hc, fans, reach into youre1 pocket, grab yourq phone and tweet us yourqe1 questionr if it's nice, we'll tweet it on air.

welcome back to "options action." shares of netflix rebounding after the company started cracking down on password the stock up more than 11% in the last two days. if you think the streaming surge ast, brian has a way to hedge it. brian?ñixd >>fá yeah, it definitely has mod up very quickly and thq+)q ways to hedge lpit.i] you can buy a putjf ande1xd pro being down long the stock. the nasdaq when you look at it versk3÷x:"át nasdaq it's outperformed in there, this big rotation in terms of the telecom sector moving to more streaming video type plays in there and netflix isuq)y strong cash flow has tock gap up, what i look to do is maybe buy at(ç.

right aroundi] that 310 level i where it broke out andxde1 gappñ higher. maybefá resistancee1 around 350. if ;■ break that support it i'm looking to buy in april 305 i can pay under 12 bucks for that. that puts my break even blow 295 for the put tolp pay off. maybe a long way to thexd down side butlp this april optiont( includes netflixq earnings whic comes out on april 18. earnings moves, we've seen netflix move 11%.lpe1 below 295 a share. i'mlp using açó put to protect against earnings not beingx:5ñ against earnings not beingx:5ñ right as everybody is hopeful "/ju now. i can continue to hold onok toee stock. as mike alluded to free tax flow type names like a çómicrosoft,

netflix, maybet( there'sçóxdñi upside with nasdaq and technology.xdw3xdxd >> this stockñi has desirable(q characteristics and wants to stay long. the concernñi maybe it's gone t far, too fast. arlier than the market.r it bottomed in xdapril/may of 22 on thefá stock market but new ls in october. youe1 can see it's just had thi stopped to thefáxd penny 150 mo average. that's where the bounce has taken place. for me it'sfá stay long, be lon. >> mike,#g take oe trade? >> look, netflix is one of those names where i think you are getting growth at a reasonable price. q 26lp times

with aboutr growth, less than one, probably 23% bottomxd line growth betwee '23 and '245a■ options premiums are elevated in the e1name.e1 what you usually see dropping as stocks rise. what that tells you is investors are anxiouslp about its rise an it. if you are going to hedge long exposure netflix,r coming up, a few big names for earnings next week and one is in mike's holly index. how should youúptsition yourself? that is a hint. don'tc%ç)uáq

welcome back to "options action." a few earnings on tap next week the bell tuesday. the stock has hadi] aok rough f months down nearly 14%. mike has a way to trade this one. mike?xd >> walgreens, this is a little bit of a contrarian play here, a name we actually own. if you takelp a look at the cha, máhp &hc% a couple ofñrozthsj■ reasons we

the stock, number one, theçó thg even if you take out basically the boost from covid, so we saw a 10% revenue gainñi on pull that back out and still thisñ cheap trading at less than ten times. the bad news they are facing along with some of the other pharmaceutical companies opioid litigation risk and, of course, oze recently if you'veok been following it a little bit of political controversy as well with respect to if and where —ei going to be distg abortion drugs. but i thinki]lp here right now there's a lot of bad news baked into the stock. that said, it is toying right now with a five-year low of about $30. itñ1 came very closelp veryñi stock you might want to hedge it. i wasjf lookingxdfáó[■>,u$e may 27 1/2i] put spread. looking at that earliere1fá tod that would costjf 48 cents.

the idea here is that if you own dôñ stock andxd it basically hos that five-year low, that's really limitedñi down side. this put spread is intendedfá t offer some protection iflp it should violate it. this is a stock that we own and that's how i intend to hedge it. look? >> the five-year low that mike refers to is the october low where all stocks made lows. you have to gojf back ten yeary before that low. essentially walgreens is flirting with ten-year lows. ■ have made no progress in ten years? that's when you do get things toúkóx are cheap, exceedingly cheap. sometimes considered a dirtylp &háhp &hc% there's an expression known as a value trap. that's my hunch. >> yeah. value trap for walgreens?:oqlp4■ >> it might be but i like the idea of a put spread.'d8you liì% your xdçóstrategy, get protectio the down side. stocks trend lower in this

range. i like usingxd put spreadsñi wh still owning the stock. >> all right.ç-tr(t&háhp &hc% well, let's get to the other name reporting tuesday. lululemon shares going downward could it be timet( to limber up? mike has a way to play it ahead of results. this was the one in thei] holly index that's been thereçó for years now. >> it has indeed this is also a stock that we own. the options market right nowçó implying pretty ko■good-sized ms after they report on tuesday, the 28th and right now implying a move over 8% just on that day. so the good news for lulu is although it's a more expensive stock than walgreens when we start thinking about it onçó añ growth to price basis, it seems more reasonable. so here, too, we're looking around 26 times earnings and about a 25, 26my■ú growth rate, so that'st( a good thing. of course with china reopening of courshat axd lot ofeopening people are hoping çólulu will b

able to expand into.ñi of course that also brings up the fact that some of thexdçó ambitious and we did see on their last earnings reg?(t ac little bit of margin compression z going to see coming into this earnings as well. if you don't already own stock nother way youi] could play thisçó potentially is with call spread. i was lookingçó at the may +■33d call spreads that would cost aç little over 8xdú a way to get exposure to the upside. this is axd prettyq expensive sk at over $300 a share. this is also a way+■ that you c commit a relatively smaller amount of capital going into earnings. >> carter? >> +■interestingly, i was in lu n my life here in park city, andq i was, of course,ú someone. there's one in the building i

lived my■in. someone. i don't know. it had aqt( tough go the last quarter. a really tough go. it's anr >> i feel like you could say that about a lot ofw3d to be fair to çóçóu■-9■lulu, th >> that's why they have the chairs.çó >>nb■ carter chairs.i] ■ of lulu, of mike's trade? >> interestingly'$e1 "fast i]mo" you brought up nike and lulu. we saw bearish opnc activity in nike, we didn't see that in % lulu. maybe lululemon has more to the upside. i would expect that more on carter's side it seems a little bit of an expensivek sto something like walgreens and lululemon, there has been a mová to consumer discretre'ary. staples didq well today.fá

it seems thisa5■ continues to pside.e1 >>i] all right. up next your tweets and "the final call." look! what's up my trade dogs? you should be listening to me. you want to be rich like me? you want to trust me on this one. [inaudible] wow! yeah! it's time to take control of your investing education. cut through the noise with best-in-class education resources that match your preferred style of learning. learn your way. not theirs. td ameritrade. where smart investors get smarter℠.

welcome back to "options action." uáu fan asks, given that ubs, i havee1 loaded uplp on 50 $3 january 25 leaps. >> buying options going out to leaps options is a pipe dream of possibly wasted money.qxd bs becauseçóq we know t they're not taking overe1e1 cre suisse because they want to go down with the ship. stabilize.

leap into profitability on the upside? probably not. that's a good opportunity if i'm to sel put atjf a levelok i'm willing own them. i don't know that itq gets ther. >> next tweet,w3 given the genel uncertainty about the economy, 75/80 callxd spreads? mike? >> okay, so this is a veryxd lo volatility name much like most of its constituents, the mercks and lilly and johnson & johnsons of the world. i might buy just out of the money calls and look for spread rather than enteringr a call spread right to b]%q!1et you're thinking of selling they are just 4 >> time for the final call. cartert( braxtone1r brian stutland?

>> i still like netflix butt( i want to own a put. buy that april down side. >> mikefá khouw? but i think a put spread is a less expensive way to hedge it. i don't think there's that much need to. in lulu's case i like call spreads goinge1 into earnings. >> that does it for us. (dramatic music) ♪ i really can see the difference. i can see this hair coming in. i have hair on my head. i can brush my hair now. within two months, i've gotten my hair back. it's just like a second chance on life. ♪ no hormones, no surgery. ♪