CSC-Idea POST - 12/20

Good morning. If you have been a client of ours since the summer, you know we wrote a note on August 2nd to start buying the gap down. We offered multiple ways to consider doing that, all of which returned between 20-50% in a matter of weeks. We didn’t include this in our performance table because gap downs are tough to time perfectly and very volatile, and thus we don’t include stops.

Here is that excerpt:

Interestingly, that gap down occurred on a Friday, much like today. And much like back then we are now lightly exposed and have plenty of cash to deploy.

We offered a number of ideas in that 8/2 note:

$NVDA @ 96-100

SOXX @ 208-211

AMZN @ 168

IWM/TNA

AAPL @ 205-211

SPY @ 522-530

All of these are considerably higher.

How should we think about today’s move?

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