Pre Market Prep 9am EST Live!

Added: 2026-06-03

[00:00:21]Good morning everybody. Welcome.

[00:00:22]Welcome.

[00:00:33]Good morning, B Native. Thanks for joining us. Not sure I've seen you post before, but if you have, welcome back.

[00:00:39]Appreciate it.

[00:00:54]Oh, nice. Cool. I never know the screen names because sometimes they're different. So, welcome from YouTube to Discord, you know. So, appreciate it.

[00:01:14]Hopefully your membership's going well.

[00:01:15]Let us know if you need anything. Yeah, it's kind of like faces, you know, you never know.

[00:01:23]Always good to have both on here. Usually we have members and then we have people joining from X as well as YouTube that are not members. So I always like to have a good mix on here so members can add some color commentary or any comments they want to add. And so I I like it.

[00:01:50]Horn dog's usually my regular, but uh he's not jumped on this morning yet. So, awesome. Good to hear. Thanks for the shout out there.

[00:02:09]So, everybody joining us, B NATO uh is a member, so um excellent membership. He said worth the money. So, we appreciate that.

[00:02:19]Good morning, Robert. Thanks for joining us.

[00:02:34]We'll get going in another minute. Let people file in here. It's Monday, so everybody getting up, moving around for the week.

[00:02:46]I will just a quick housekeeping note.

[00:02:49]I'll say this a couple times this week.

[00:02:50]I will be on vacation next week heading down to sunny Florida around the Naples area. So um we'll see if our team allows to do um pre-market prep next week. That'll probably be Taylor. So um but if he's not available, he'll be posting the the commentary and um as well as the SPX stuff. So, good morning, Jam.

[00:03:17]Anybody around the Naples area, let me know if you're a member.

[00:03:21]Maybe we can meet up. Naples, Bonita Springs, uh, all the way around that area. So, okay, it's 9:03. We'll go ahead and jump right into it. Thanks everybody for joining us this morning. This is Michael coming to you from gamege.com.

[00:03:45]Yeah, 10 straight weeks. Yes, sir. Been riding the trend. Um, so, uh, again, game edge.com. Uh, pre-market prep this morning. If you're just joining us, good morning, bro. Uh, like and subscribe on X and YouTube. You'll be notified when we go live. And quick housekeeping.

[00:04:01]Obviously, you can, if you've joined us before, I always want to go over this.

[00:04:04]This is our newsletter, our education newsletter. Put in your email. This is how we contact you on the weekends. we send this out talks about our thesis and our strategies as well as upcoming webinars and upcoming content that may be important to you. So, make sure you uh go ahead and put your email in. It's free and uh and then our products, our web app, and then other resources, our free courses. This really is the essential to game edge FastPass. This is our flagship options course. Uh thanks be for joining us. gave us a shout out this morning about the excellent membership. But um if you're looking to join us, you can go ahead and go through this for free before you join us in the Discord so you have a leg up on the uh on all of the content and how we um basically navigate individual equities as well as the options structure. So good morning Paul.

[00:04:50]Paul is our uh S&P um game plan extraordinaire. So um we had a member Paul Bato that gave us a shout out for an excellent membership. So we appreciate it. Okay, jump right into it.

[00:05:02]Uh, our three uh pillars, sentiment, structure, and trend or all structure.

[00:05:06]We also use the word um positioning. Hi, Peter. Um, but trend really is the essential uh portion that keeps us on the right side of the markets based on the tick index. And again, what you're looking at here is basically a tick index, but we add some um some indicators to it. And we call them indicators, but we loosely talk about that. The bolded white line is your intraday instantaneous cumulative tick.

[00:05:29]So that's based on the tick index buying versus selling in the overall market. If you are a short-term trader, intraday trader, this really is kind of your um guiding uh light throughout the day. If it is from lower left to upper light right and rising or a positive slope, then there's more accumulation uh in the overall market or more buying. So obviously you would have a long overall thesis. If you're seeing a sideways, that's consolidation, maybe a little bit more uh risk averse or reigning in some of your risk. And then if it's moving back to the downside under these shorter term momentum moving averages uh then obviously you'd want to be uh protecting capital or short the overall market. Now the intraday uh cumulative tick is the bolted white line. Our one to three day trading time frame. We break this into trading time frames is the railroad track momentum moving averages. There's three of them. Obviously you want to have those stacked in the proper order.

[00:06:19]If you do any technical analysis it would be the same thing as the eight and the 21day and the 50-day and the 200 day. You want to have all of those rising and price above those for you to be along that overall stock. And then our colored ribbon is our 1 to three uh week uh look back period or trading time frame. Again, if you're a position trader, this is what you want to be looking at. Again, this continues to rise the cumulative tick and the momentum moving averages are above that.

[00:06:43]So, we are along our overall mechanical portfolios. This is our gate to those mechanical portfolios, our PRA to PX as well as our wheel strategy. uh and the red is above the scan expanding to the upside. So obviously the overall significant accumulation by the greater market participants is still continuing to rise and accumulation to the upside.

[00:07:03]So again we do not know how long this trend will last the bull trend. It could last significant amount of time or it could turn off today and we could start moving back uh to the downside and then cut through the colored ribbon. But what we want to do is just be on the rise side of the market with progressive exposure. And then we when we start to see some failure, the bolded white line or the railroad track momentum moving averages to the downside. We start to take some profit, adjust a little bit of our risk. And then we're in a wait and see mode to see if we continue to stay above that colored ribbon. Key takeaway up here, filtered cumulative tick plus 1,000 minus 1,000 larger block orders from institutions. Fairly flat uh these few days. We did have a linear upday here and then it's flat uh on into Friday. So if you look back over here, obviously significant accumulation by institutions, but then we just kind of coast along as you can see sideways price action. Then we have a linear update. So obviously more accumulation and then you see some consolidation. If you are a follower of the market for any amount of time, this is the eb and flow of the market, right? You'll see three to five days is usually our bucket that we've back tested and studied that you'll have significant move to the upside and then you'll see some consolidation. That's just the eb and flow in the option structure. market also kind of matches weekly expireies also. Uh and then you can head into the monthly expireies. Uh but again, it's kind of the same overall pattern and that's what we look for via the tick as well as the option structure. All right, moving on to the trading view market trend model. Same thing. Uh the time periods, I think this is one of our greater tools here is matching the time periods uh day overday uh for um the price action. You can see it's stacking to the upside and then we see some consolidation and is the market making new highs as the tick is making new highs or we're starting to see some negative divergence really is the key takeaway. Uh so we want to have market participants obviously accumulating as the S&P is making new highs. All right moving on the S&P this is largest most notion of value option complex. That's why we look at the overall structure. We separate the spxa from the spxpa is your monthly expireies. These are the big boys and girls. We refer to it as the cruise ships. So the tankers that is controlling the overall market from a 40,000 foot view. These are your like your large uh guard rails. And then we have the SPXP which is inside those guardrails or goalpost. And that's kind of trimming the rudder of the uh of the ship um day overday as well as the week.

[00:09:23]So we have a path uh continuity now for the next four months uh as June through September. So that really gives us good confidence of how market participants or institutions are positioning. Call dominated for the structure on our web app. This is interactive. If you click on the upper quartile, it'll give you the highest OI expireies. Uh again, call dominated supportive on any pullbacks.

[00:09:46]That's kind of what we've been pounding or preaching really the past few weeks to months. uh as long as you see SPF or sorry um out of the money call speculation to the upside as well as in the money calls below you and some puts filling in, it's supportive forces on any pullback above those key levels. So 7,600 is one of those key levels. It looks like we're kind of flirting with that uh pre-market. So we may oscillate around that. We could even drop down back down all the way back down to 7550 and even down towards 7500 from a larger 40,000 foot view and we would still be in a roughly in a call dominated structure and supportive forces. So again um we could have you know a pullback which would be perfectly normal and still be in a call dominated structure. Now, when we start to see this change, we would see out of the money calls start to degrade or um be closed and that would start exposing some in the money puts overhead and then we'd see conversely the same thing to the downside. Then we'd change our thesis and overall thought process. Most likely before we'd even start to see the SPXA change, we'll start to see our market trend model that we'd start to see the accumulation go away. We'd start to see some significant selling come in and then tail wags the dog. uh we'd see the option structure uh most likely change also simultaneously. But that market trend model really is the really granularity uh day overday, second over second, minute over minute. If we start to see that change from a market participant standpoint, that's our first cautionary warning sign. Then we look at the S&P and then we'll start to see the SPXA kind of that larger positioning uh really start to change as institutions are not trading from a ZDT time frame.

[00:11:21]Obviously, they're on a monthly or a quarterly time frame, and you'd start to see that overall positioning change also. All right, moving on. The SPXP again, this is our uh our speedboats, and you can see we have path continuity from today, Monday, and Tuesday.

[00:11:37]Wednesday is lower OI exposure as well as Thursday, and then we head into Friday. So Wednesday and Thursday, I'm not I'm not going to use the word crapshoot, but they could be driven a little bit more by intraday um call versus put speculation as it's not in the the upper quartile of the OI as you see here. Um so greater confidence Monday and Tuesday, little I say less confidence, but I'm using that loosely that just means that um the structure uh is not uh as high OI as the Monday and Tuesday uh expiry here. Um so again we we'll watch that though that may increase but just as of now um it's just not as high as uh Monday and Tuesday.

[00:12:14]All right so again call dominated pullback should be supportive if then statements for today really clear on the zero DT as I posted this morning with some of Paul's commentary. Uh this is our GEX transition level here. Obviously want to be above that but you can clearly see the gradient when we change from a call dominated structure. Yes, we do have some call dominated net OI strikes here. But we clearly change from the call dominated structure to start the put dominated structure and you can see that over here in the OI columns call versus put OI. You see the puti really start to ramp up there below that 7550 level. So we'll be adding significant more negative deltas as we move down the structure if we get below that 7550. All that means is these are out of the money puts at the moment, speculation below us uh for a pullback and then if we go through that 7550 strike, those actually become in money and become a significant headwind over overhead and it'll be difficult for price appreciation. Now, conversely, the same thing to the upside um that we see the call gradient very well entrenched as we move to the upside. The only issue is obviously these are out of the money calls above spot price. So that has a charm component as they decay and that will continue to be our headwind as we move to the upside all the way towards 7640 and 7650 which we do have a runway uh towards that. Uh so again call dominated structure supportive forces on pullbacks unless we see a significant change in sentiment and trend. Okay uh market sorry delta balance uh let's move the gx ratio over first. This is like a put call ratio but it's more weighted towards shortdated call versus um put gamma. So that's our time component that we add to it compared to a regular put call ratio that adds everything on out in expireies till 2027. So if you're a short-term trader zero DTE one week even past one week you really want want to be looking at this uh overall tool gex ratio. This is just telling you uh who's winning the battle. Short dated call versus put gamma. If short dated call gamma is winning the battle most likely you're going to have price appreciation compared to short dated put gamma. Um, and if we see SPX continue to the upside, you like to have a positive slope on the overall GEX ratio. As you see here, it is slightly negative as it moves to the downside. But again, I take that with a grain of salt or a magnifying glass. Uh, basically, you're just consolidating sideways as the S&P moves to the upside. All this is saying is that price appreciation may be slightly difficult as this GEX ratio is not rising. So, you do not see significant out-of-the money call speculation being added to the overall structure. So, that's the only thing this is saying. Um, just maybe slightly cautionary that it's going to be difficult to move above 7,600 unless we get some change. George said there's a tweet out there. Who knows what, you know, geopolitical stuff on the horizon.

[00:14:55]So, again, we'll just watch that. But again, this is just an overall mosaic of our suite of tools that we look at. And this is just saying, hey, uh, upside appreciation may be dampened just a little bit. Obviously, we want to look at the zerodt stuff as well as overall delta balance here. So delta balance this is separating the S&P option structure uh from above spot price which is your righth hand plane that's your green dotted line that's your out of the money calls as well as in the money puts left-hand plane is um your red uh dotted line here that's below spot price all the structure below spot price that's your out of the money puts as well as in the money calls obviously you want to see out of the money calls continue to rise to the upside on out and expiry that would be speculators opening new contracts above or the structure more all dominated above. You want to see this continue to rise uh for the first and the second and the third. Uh we actually do see that rise and then we start to see a little bit of a fall. So could see some price appreciation in towards Wednesday and then we see some balancing into Thursday and Friday. So again, upside appreciation may be a little bit dampened after Wednesday.

[00:16:00]Again, this is all just projection on out in time for where the structure is at right now. So this could change intraday depending on what market participants are doing. We've I've had some comments about that. Hey, it said it was bullish, but we actually saw some stalling or sideways action. Absolutely.

[00:16:16]So, the new uh contracts or the new delta coming in intraday. That's why we have our intraday tools can override what is happening with this structure projection that we're looking at right now. Now we do have those forces on the outside that are already coming into the day and then basically you see the changes within the day because of the zero DTE opening and closing of contracts. Um so again uh heading into the uh first here is the lefth hand plane here and then we see some dropping basically this could be out of the money puts which we're seeing on our net stack command which we'll talk about back filling up under price which actually is bullish uh because those out of the money puts uh the charm decay on those will continue to be supportive forces.

[00:16:58]So you really want to have in the money calls and out of the money puts below you both of those will be supportive uh and that just gives you a better foundation. Delta is our foundation and then the G uh the gamut and Vanna basically is what is the uh forces that are are pushing price uh intraday. So that's why it's a great idea to understand all of those as a a larger picture and not just looking at one component. Uh and then we see the blue delta balance. Uh that's basically the oscillator or the aggregate. It's pegged at plus one. So it's telling you the call dominated call speculators are in full control of the structure on out through this week.

[00:17:34]All right. spxp net stack command. This is where we get what I posted this morning of some of Paul's commentary and that you want to look at uh from a structure standpoint. Understand where the transitions are and what's occurring within the second and third order Greeks. Now we look at net delta across uh the um complex here. It is completely call dominated. Okay. So in the money calls below us those should be supportive. 7590 is that lefth hand plane strike. Again, we could drop below that, but we'll still be call dominated uh there. And then we'd start looking at the second and third order Greeks for controlling uh spot price uh down to the downside. And then the right-hand plane out of the money calls 7,600. Again, if we're above 7,600, capture those out of the money calls, those will become in the money and those again will be supportive. Uh and then our net charm area out of the money calls, it's winning the battle to the upside. So that's why I said that headwind as I my expost as we move up the gradient today that's going to become a headwind because those are out of the money calls charm decay throughout the day those will continue to grow and that will be your headwind. Now we can overcome those headwinds as well as the uh structure to the downside via intraday zero DTE in the money call or sorry a call versus put speculation. So whatever market produce business are doing in intraday as long as they're opening and closing enough contracts of volume to overcome these transition areas or these headwinds and tailwinds then we can definitely move through that overall uh structure. But we have a base structure in place that's basically our goalpost that most likely we're going to I say pong between those depending what's happening between that intraday speculation and then those forces are what's going to control us throughout the day for the second and third order Greek. So net gamma here a little bit larger to the upside. So we'll be adding uh calls at a gamma rate to the upside.

[00:19:20]If we see out of the money calls come in as well as volatility drop and that leads us to Vanna again. Vanna uh to the upside is leaning more towards the right-hand plane that would be upside.

[00:19:30]Uh again if we see volatility drop and then we see spot price and or sorry out of the money calls continue to come in and move across the overall structure and surface. And then conversely to the downside. Uh here we'd be adding uh the um uh the deltas at a gamma rate to the downside. That's the lefth hand plane.

[00:19:48]But again, you see that's supportive to the downside. So we'll reach a point where most likely we'll see a charm balance and then we'll see some supportive type action. We've pegged that 7550 in that lefth hand plane strike. That's the bottom of DS. Most likely stabilization strike uh once we move into that. So 7577.

[00:20:07]That's interesting. Nice. So, we uh forced this at 7597 here, but we're going to be down towards 7577. So, again, that will uh we'll be watching those left-hand plane strikes as we uh move to the downside. Again, should be supportive as we move to the downside via our structure, but again, that can change really. Again, that gradient I talked about was at 7550. So, I really that's that key key point to the downside. So, again, zero DTE. Yep. So if then statements I talked about this morning, Paul uh concurring here very succinct at 7565 to 7577. So we're going to open most likely right above that transition area. Again we say transition matters, right? This is where our supportive forces should be. But if we get below transition, then that tells us there's a change in the overall structure. Uh that means that market participants are at most likely at least closing calls or opening more puts and pushing us down through that transition.

[00:21:04]But then again, we hit that uh 7550, that gradient area to the downside where you have significant puts. As long as we're above that, those will continue to decay and you have calls sitting there too, out of the money calls. But obviously, it's a more put dominated structure. So, if we I say blow through.

[00:21:19]But if we move down below that 7550, then you're forcing these um out of the money puts that those are now becoming in the money. You're adding all those negative deltas. So, again, that's going to be a headwind if we try to get back through that. Okay. So again, then we could see a push down a little bit more, but again, you see that these puts down here, uh, we continue to add those negative deltas as we push down towards that. So 7550 to me really is kind of that line in the sand. Transition is our line in the sand. But that 7550 is really going to be kind of the uh if then statement for me for changing from a bullish uh to a little bit more risk averse structure there. Not a surprise that the structure pulls back to these levels which we can create structure. A absolutely and that's why we create those and then so we have those goalposts. I keep saying goalpost but I mean those guard rails in place of the overall overriding structure heading into the day where market participants are positioning. And then we're going to trim those sales as we move into these strikes or through these strikes. And then again, if we see the intraday speculation from calls versus puts, if that ramps up and we see out of the money puts really start to come in from speculators speculating to the downside, then we could easily drive through those levels. But we can see that via our tools and then we look at the second and third order Greeks that are going to add a headwind or a tailwind to the downside, right? So, if we start moving through these strikes, we can get that tailwind to the downside via gamma and Vanna. that's really going to push us even more as those market participants are opening uh calls or puts depending on what's happening. So that really is the essential of what we do is we have the structure, we have the rules or guard rails in place and then we try to look to see what's happening intraday via the call versus put speculation.

[00:23:03]that's either going to add on top of the move to the downside or help us move back to the upside but then have a overall headwind as we continue to move to the upside which definitely can be overcome by out of the money call speculation. So we'll see. Um we've been supportive basically for the past three to four weeks into these uh key levels to the downside. If that changes then you have a sentiment change in the market and that's a take notice for us uh here at Game Edge. And then we'll see our market trend model really start to change and do an about face and you'll see the selling really start to pick up.

[00:23:38]So it's just a a multi- multifocal tool understanding of what's happening. Uh and we try to make it simple with the if then statements. If you're below this be a little bit more capital preservation mode. If you're above this then you can uh buy the dip or enter uh pullbacks and get involved in the overall market.

[00:23:56]Okay. All right. Thanks everybody again for joining us. Let's do some individual tickers.

[00:24:01]um has been on a lot of our scans the past week. No, significant move up in the AI. Um let's just go ahead and look at Friday. So, interestingly, put dominated for iron. Um very wide transition here. Um so, pretty messy structure here. You see, um PX and COI up at 67. Um so, depending on where spot price opens this morning, uh upside is probably going to be a little bit difficult as you're starting to see some puts start to fill in above. So this may be I'm not doing an overall projection.

[00:24:33]This may be the first signs of some of the AI stocks uh seeing some profit taking. Okay, again that's just what I'm looking at with the structure on iron.

[00:24:42]Now iron is not the overall global view of all the AI stocks, but we had significant move in AI stocks. So you may start see some uh overall profit taking. Let's do the upper quartile. So still call dominated upper cortile. So after the 5th which is this Friday you head into the monthly expire which is the 18th. So still call dominated a little bit wider transition supportive on pullbacks but again from the short-term view uh Friday then you may see some overall uh profit taking uh again call dominated structure or put dominated structure but significant call dominated strikes within this overall structure also that should be supportive but we may see some profit taking there on iron. Okay, we we'll have to continue to watch that. Um I think on the um one of our members posted this morning on the call versus put speculation on or a call versus call OI versus put OI tool.

[00:25:34]Iron had a significant more puts come in than calls. So again speculation could be ramping up a little bit to the downside uh for possible pullback. INTC put dominated very wide transition here.

[00:25:45]Spot price well below uh PEX and index.

[00:25:48]So significantly weak there. 100 to the downside. maybe some stabilization area even though those are out of the money puts though not significant out of the money calls as the gamut condition is put dominated total OI call dominated into the monthly expiry 618 and then July um I'd be looking for a pullback down towards the bottom of transition here that's when you're in the money calls really start to ramp up at 100 and 95 upside's probably going to be difficult above 110 even though we have peaks up here okay so INTC shortterm a little bit weaker So maybe we're seeing a theme here um across multiple stocks.

[00:26:25]Oops, sorry I typed that wrong. Across multiple stocks that were actually seeing some puts start to come in and maybe a little bit of profit taking as the markets had significant move to the upside. Okay, Baba call dominated. Um you're below transition. So that's a little bit weaker. You see PX down towards 121. That'd be watching to the downside. 130 to the upside is uh or sorry index sorry is 121. PX130, you're going to have a charm headwind as you climb this gradient up towards the 130 area. If we do get a move above transition, 130 is probably going to be your cap on price. Uh Baba from upper cortiles put dominated so a lot weaker than some of the other stocks and you're well below transition. So not one I'd be looking for significant upside possible pullback towards 120 there on BABA.

[00:27:11]Okay, QQ. Let's look at that one. Um let's look at today. Actually, let's look at the aggregate across this week.

[00:27:20]Okay. Um, so call dominated uh aggregate across this week. So, supportive on any pullback. Significant calls below us on Q's. So, that looks good. Let's look at Friday's ex call dominated. You're within the overall transition though.

[00:27:33]So, pull back to 7:30 uh maybe a likely area and 745 is PX to the upside. That's probably your cap on price there uh for the week. Um but call dominated structure looks great. um over cortile you're above transition pullback should be supportive on cues unless we see a significant change okay GLD um let's look at Friday's expiry on GLD call dominated you're within the overall transition 415 to the upside's peak and COI you're going to start to climb that gradient you're going to hit a headwind there around 415 you're within transition here so it could be choppy um pull back towards 407 then the 402 to the downside on GLD upper cortile call dominated um within transition large supportive area down towards 400.

[00:28:20]So if you get down towards 400 that may be an opportunity to get involved if you're not already and then upside 415 and towards 420 from an upper quartile standpoint. Okay. All right. ARM Friday's expiry call dominated uh spot prices right at transition supportive on any pullbacks down towards 380 370. Um, you're right at index though at 39250.

[00:28:44]So again, I'd watch that strike there.

[00:28:46]400 to the upside is most likely going to be a cap on price. That's PX unless the structure advances and um spot price is well above. So you see actually PX and index drop from an upper cortile standpoint. So you're well above uh that PX index level. Thanks Pedato. Um, so you could see a pullback down towards 350 there on um on uh ARM there. All right, CRWV. Let's check that one out. Nvidia, I'll check that borrow just in a second. 929. We're moving into the open. Long run today. Uh call dominated. Um structure well above transition. So supportive on pullbacks on coreweave. Uh 120 to the upsides. PX COI. That's probably your cap on price.

[00:29:29]120 structure really doesn't advance.

[00:29:31]You're above transition. pullback should be supportive, but 120 117 then 120 is most likely going to be your upside area to watch. Okay, Nvidia um let's look at Friday's expiry call dominated above transition pull back to 205 would still be um bullish upside 21750. I think we talked about 21750 last week or maybe 220. Um structure advances to 220. That's most likely going to be upside structure really doesn't advance much past that. Okay, so 220 to the upside. Okay, let's check the open here. Oh goodness. Yeah, nice pullback there. So 7569 right at the top of transition most likely for the open.

[00:30:12]Um what we say 7570.

[00:30:14]Um look like we're opening right now. So transition 75657570 and then 7550 is the area we're going to be watching um on a pullback. We came down to 7564. All right. Okay.

[00:30:30]Woo. long run this morning. Thanks everybody for sticking with us. So, we're gone 30 minutes. Okay. Um again, uh like and subscribe on X and YouTube.

[00:30:38]You'll be notified when we go live. If we get below 7550, we'll absolutely be a little bit more riskoff um in our overall thesis and positioning. But as of now, that transition area is going to be extremely important to uh hold above uh for the bulls um right in that 6570 area. Absolutely. Thanks, Paul. Thanks for joining us. Um, and then we'll see what the intraday call versus put speculation is. Okay.

[00:31:02]All right. Manage risk everybody. Make it a great day and we'll see you later.

[00:31:06]Thanks.