we'll bet facebook will exceed the high on its news. >> all right. what's your trade? >> i think this sets up very well for two reasons. one, we have an identifiable. this is a stock that has moved well over 7% on average going into earnings and options are quite inexpensive. a move of only 5.4%. you can spend $2.85, just a small percentage of the current stock price to guy market at 135, 45 call spread. the maximum risk is $2.85. spending premium is something that is a fool's errand. in this case because options prices are low and we have two reasons why the stock might break sharply. >> i like the trade if you agree the potential breakout. if do you, that's the level. you're targeting 135, you're paying a few bucks this premium to do that. you have a couple months. i'm going back to the technicals. take his word for it over mine. i see double tops in amazon and facebook. if they do what they both did in october and they talk about higher expenses in 2017. that is kind of my view. facebook in particular. i think they have a fake news problem. i think they have 1.8 bil

we're going to bet facebook is going to exceed the high on its news. >> all right, mike, what's your trade? >> i think this sets up very well, actually, for an options trade for two reasons. one, we have an identifiable catalyst. secondly, we have basically this juncture carter has identified. what's interesting is that this is a stock that's moved well over 7% on average going into earnings. and options are actually quite inexpensive here. implying a move of 5.4%. you can spend $2.85. so just a small percentage of the current stock price. to buy the 135.45 call spread. that can be worth as much as $10, your maximum risk in this case is $2.85. spending premium into catalyst is something that often is kind of a fool's errand. in this case, because options prices are low, because we have two reasons why the stock might break sharply, one direction or the other, i think it sets up very, very well. >> you like this trade? >> i like the trade if you agree with the potential breakout. then that's the level you're targeting, 135, paying a few bucks in premium to do that. you have a couple o

bet up, bet that facebook is going to exceed the high on its news. >> all right. mike, what's your trade? >> yeah. i think this sets up very well for an options trade for two reasons. one, an identifiable catalyst and secondly, juncture carter identified. well over 7% going into earnings. options are inexpensive implying a move of 5.4%. you can spend $2.85. so just a small percentage of the current stock price, to buy the margin 135, 45 call spread, worth as much as $10. maximum risk in the case, $2.85. spending premium into catalyst is something that often is kind of a fool's errand. this case, options prices are low and two reasons why the stock might break sharply one direction or the other sets it up very, very well. >> you like the trade? >> if you agree with the potential breakout. you do, the level you're targeting 135. paying a few bucks in premium to do that. have a couple months. that makes a lot of sense. i'm going back to the technicals where, listen, take his word for it over mine. i see double tops in amazon and facebook, if they do what they both di

>> this goes back to other other conversation betting on earnings without making the bet apple, amazon, facebookosoft, google, you know the drill here, are going to do something extraordinary. the qqq they make about 40%. this is a cheap way, the way options prices were underlying stock price i think you stick with it. >> stick wit. now to one of the hottest trades of last year. caterpillar, a few weeks ago thought the rally was about to fade. >> specifically the one that i was looking at here is in caterpillar. i'm looking at january 89, '85, put christmas tree. buy 93 strike puts and sell one of the 89s and one of the 85s against it. that entire package is going to have a net debit of about $0.90. >> the stock is pretty much flat sin then. so carter what do you see in the charts? >> it is sort of flat, interestingly worse on the market. we haven't been paid. i think you stay here, the presumption that cat has gone too far off its january low. >> the spread we have on it is going to expire in a week. we can roll it out for what it's worth now, down $0.40, $0.50 where it's trading today roll it

facebook, apple, google, netflix all jumping. is the tech trade making a come back and should you be betting on tech in 2017. what do you think? >> it was making a comeback for the last couple weeks. this is also rotation. what was outperforming when yields were some question and i'm not sure why the bond market's selling off. the bottom line is it was growth -- value over growth for the good part of the last three months and now we're back into a place where -- you can't say even apple, i realize apple is cheap relatively to pierce, this isn't a value play. people are going back after growth. as it relates to tech, let's face it, amazon gets a halo effect when you see what's happened to retail and it's ultimately cementing a story that shows amazon when they want to turn on margins i believe they can do it. >> but in terms of 2017 trade they spoke netflix finally

nasdaq, quite interesting, on point, not a percentage move, the biggest losers today out for bet, apple, facebookcreasingly concerned about immigration, and what could happen with things like they rely on to get talent and staff through the door. highsgoogle was at record last week, so you have to factor in this kind of selloff. john: likewise the move we had on the dow last week. alix: what is popping. look at that. up 16%, the biggest move since early september, but still at historical lows. every person comes on the show and says that, but when will we see volatility picks up. david: what is your take away? alix: larry summers weighed in on volatility. >> i am surprised by how low measure of volatility is, because it seems to me that are optimistic or pessimistic about the new administration, you have to look at the last several weeks and thinks of prices are more likely than usual. the one hand, president trump sang the markets are flying to it on the other hand, larry summers saying i have no idea. today?where is the vix alix: it is a 15% rise, so it is something. revisit a fundamental quest

facebook page. evan koslof in northwest. >> i bet you they use some of those hacks here. look at what the storm left behind in colorado. the colorado department of transportation says many drivers weren't prepared and didn't have chains on their tires. one tractor-trailer had to be pushed up a mountain by a snow plow truck. i-70 was closed in various places throughout the day because of the tough driving conditions. the areas expecting a total of o 7 to 14 inches of snow later today. >>> meantime, in kansas city, missouri, the snow might look picturesque but it left some cars and trucks stuck last night. meteorologists there say the snow is a relatively light event. but might make for a messy commute in the morning. >>> "wake up washington" will be on friday at 4:00 a.m. with all the news you need to know before you hit the road including school closings and delays. and take us with us if you have to leave. follow us on our mobile app. >>> and we are following breaking news from prince george's county this afternoon. at least two people were let away in handcuffs after fe

course facebook was around, but nobody really used facebook every day like they do now with their iphone and certain donald trump uses twitter every day and i bet you he used a mobile device that was influenced by the iphone. >> obviously it got the ball rolling, but as you mentioned it's been sort of an evolution as well. >> yeah. and even created its own economy. back in the day if you wanted to app you had to get it from the manufacturer or some preinstalled thing on your phone. but in 2008 when they opened up the app store, they could create their own applications to sell to the world, it created a new economy. >> i just want to go back to something steve jobs said. he said what we want to do is make a leapfrog product that is way smarter than any device has ever been and way simpler to use. do you think jobs did those things he set out to do. >> he absolutely has. what we have to be concerned about is what has tim cook got in his pocket. we talk about the iphone 8 and all indications it is a pretty great product, but not sort of the leaps and bounds that steve jobs has been getting us set up to believe. it's been 10 years and i would expec

bets that were made back at the beginning of digital were won by qualcomm. caroline: bloomberg technology's ian king and editor-at-large cory johnson. facebook6 app wars. the two silicon valley giants dominated the list of the top app according to nielsen. facebook was number one with more than 146 million average unit users per month, a 14% growth over last year. not to be outdone, the company known for the world's most popular search engine grabs the the most spots on the list. gmail and other google services also made it into the top 10. coming up, we will continue our focus on the tech breakthroughs of 2016, looking at reasonable rockets. the hits and misses. that is next. this is bloomberg. ♪ caroline: 2016 was the year of populist movements from brexit to the trump election, but perhaps ironically the world's wealthiest seemed to benefit from the move against globalization, adding $237 billion to their coffers. that is according to the bloomberg billionaires index. if you break it down by industry, technology fortunes were the second-best performing in the ranks. that is despite worries that a trump presidency might introduce policies

facebook page. in part by -- >>> this week where exactly is silicon valley? that definition keeps expanding. a check entrepreneur wants you to betn europe and a stand up guy takes us inside the business of comedy. our reporters, mark nu from china's global television network and sarah lacy of the tech blog pando on "press: here." >>> good morning. i'm scott mcgrew. global innovation may be the least fashionable thing right

bet on streaming video is paying off. netflix now has over 90 million global subscribers and makes 94% of its revenue on streaming video. caroline: another story we are watching, facebookeo mark zuckerberg takes a stand in a dallas courtroom to defend his company against claims that its virtual-reality unit, oculus, stole the technology behind the rift. zenimax alleges that oculus poached one of its star designers. it also said facebook completed its acquisition of oculus with -- in 2014 with "full awareness" that its tech was misappropriated. if zenimax wins, it could rewrite the story of how facebook has emerged at the forefront of virtual-reality. still to come, we had to the economic forum in davos, switzerland, qualcomm's chairman talks about the trump administration. this is bloomberg. ♪ caroline: now to a bloomberg scoop. u.s. regulators have filed a lawsuit against qualcomm for allegedly using unfair practices to license its technology. digging into the details, the federal trade commission says qualcomm forced apple to use its baseband processors in return for lowering the patent rate of the royalties it charges. in 2014, it was disclosed that its licensing me

. >> i bet mike murphy is going to say not amazon most exciting it is facebook mike. >> ifs going tod of agree with your point when you talk about exciting, i am going to go with you, because you look what amazon is doing they are reinvesting and investing in growth, they are in every different part of the economy, right now, and maria asked about senseors amazon has alexa in your home to track your home i wouldn't bet against them on forefront of a sensor in body i agree a great call the most one of the most exciting companies out there for sure. >> by the way, i believe, that just getting into the c container business sea container. >> health care i am going to perk up. >> let's -- gives blood companies a shout-out, literally the companies that will find a cure for all cansers will no longer existence 10 years from now. maria: we are on same page, i am into health care i just you know. >> a good discussion america has is where exciting companies, across the gamut of companies high-tech exciting time to live? >> really is james freeman you want to get in. >> just companies patents w

facebook saying, he was too hung over. in his message he explained the horse he bet on at the racetrack won and he celebrated too much sayinghis is highly unprofessional. i have not taken the decision lightly. but the response online and with his customers was energetic, they really appreciated his honesty and said perhaps the best sick note ever. just being honest. >> honesty is the best policy. >> not sure we all get away with it. >> can you imagine pulling that one? i don't think so. >>> "pop news" time? >> let's do it, lara. >> all right, everybody. hello, guys. we'll begin with the movie news. octavia spencer, nominated for best supporting actress at the globes for her role in the breakout hit "hidden figures." but she should have been named best in the best according to her castmate taraji p. henson. she purchased every ticket for a showing of her film and invited low income families to come and enjoy a movie night on her. [ applause ] she writes on instagram, my mom would not have been able to afford to take me and my siblings so i'm honoring her and all single parents this mlk weekend. if you know a family in need t

bet.. >> ♪♪ >> all right this now comingight out of chicago.ca prosecutors have filed hatefileh crime and kidnapping charges against four people in connection to a shocking crime broadcast to theains to facebookentally disabled plan in chicago ripping his clothespi and cutting him witngh a knife.i the incident went on forn nearly two days.arly police say the suspects madepecs anti-trump remarks during the torture but chicago police dobug not believe the crime wasas politically motivated.at >> a huge mistake made by a local paper. we'll tell you why an embarrassing cover on the t latest issue has some people calling it sexist.g it >> brody and grant break downrak the unexpected changes for theee redskins. we'll be right back. >> ♪♪ ♪♪ >> ♪♪ >> welcome back. this is a move a lot of redskins fans wanted to see andis i its ns fanove really is nothing to do withot the quarterback. y shhey wish they had seen that move the iy nstead.nsad >> we shall see. s. >> brody logan and grant a g paulson with he change of the off season.n. brody logan grant paulson here and the big news today defensive coordinator joerdin barry fired by the redskins redn and the bulk of the defensive td staff. i'm a bit surpri

. >> i bet when people are out there, they're going to be using facebook live to stream. >> of course and this woman out here, sorry i'm calling you out. is like this. the camera's not on. she just wants her daughter to see. so hi to your daughter. >> we're here on fox news. >> there you go, jasmine, jackie. she's here on fox news. take take a look at the weather map. california, this is where your drought was last year. we talked about it for such a long time and over the past couple of weeks, look at what has happened. all of the moisture brought all the exceptional drought. here you go across the northeast today. chilly day, not that bad. down to the south, chilly day as well but i tell you what, guys, it is dry across most of the country, and it's going to remain that day over the next three or four days. >> well, you had two friends earlier. now you have five. >> it's building. next hour i'll have six. >> earlier in the show we told you about an inspiring military family. frankly all military families are inspiring but this one showing incredible strength in adversity. >> cancer

bets on how to leverage growth. at&t is buying one of the biggest cable companies. verizon bought yahoo!. they are in the process of buying yahoo!. they are try to convert -- compete with facebook, they are going after the at&t plan of getting in scale with contact companies and leverage of that to get good costs and a differentiated product like directv now which at&t just launched. do these things work together, or is this diversifying revenues, but this notion of at&t and dish and time warner, the notion of yahoo! content and even cable content? it is really just about using their balance sheet to have a different source of revenue that is not dependent on connectivity? matt: it goes back to the question in telecom, are they just a dumb pipe? what we have seen for years is that has matured rapidly. the previous coverage is gone. t-mobile is competing nationally now, sprint is catching up very quickly. now the network premium they used to get has basically eroded. in with growth declining their main profit driver, they are trying to denver's find you growth avenues grow the top and bottom line and more importantly keep their task -- cash flow going. i want to follow up on cor