Good morning, traders…
My son Cooper dropped some wisdom on me this morning over breakfast.
He announced he was planning to invest all his birthday money into “snacks and stocks.”
When I asked which stocks, he said, “Whichever ones go up the most … and Cheez-Its.”
I couldn’t help but laugh. But as the morning unfolded, I realized Cooper had accidentally described exactly how most traders approach the market.
They chase whatever just moved. They buy what looks hot. They treat investing like a vending machine where you put money in and winners come out.
The problem? That approach led to mixed results on Monday.
We had explosive action right out of the gate. Several major names ripped higher, surging past key levels.
But these moves required different approaches. Some of that early heat was unsustainable — certain opening pops faded quickly. Other moves rewarded patient traders who waited for proper confirmation.
If you prepare your levels, watch the Smart Money flow, and track the intraday moving averages, you can separate the real opportunities from the traps.
Let the setup come to you. Don’t chase the setup you missed.
Here’s How To Differentiate Between Defined Opportunities And Opening Bell Traps…
TSLA: Too Early, Too Quick
Tesla Inc. (NASDAQ: TSLA) gave us a fast breakout right off the open on Monday…
But we called it live: the move was too early, too quick.
The opening pop absorbed all the available volume like gravity.
And it pulled below the opening price within an hour:
A classic bull trap for anyone who jumped in during the first 30 minutes.
This is why I focus on managing existing positions during the opening 30 minutes (rather than entering new setups).
Here’s what I did first thing on Monday morning:
I took profits on my Taiwan Semiconductor Manufacturing Company Limited (NYSE: TSM)October 3 $260 Calls:
I also scaled out of UnitedHealth Group Incorporated (NYSE: UNH) September 19 $320 Calls:
These were positions from last week that gapped favorably over the weekend.
But this isn’t to say that you can’t trade early in the day.
You just have to do it the right way…
NVDA: When Patience Works
In contrast to TSLA, Nvidia Corporation (NASDAQ: NVDA) rewarded patient traders…
The Smart Money flow was steady all morning. And the chart reclaimed the $469 to $470 zone, which got the Invesco QQQ Trust (NASDAQ: QQQ) moving higher too.
Heavy call flow, solid structure:
Unlike TSLA, which got ahead of its skis, NVDA built its base properly, then held its moving averages on the 5-minute chart.
It didn’t gap and go — it climbed steadily while key support levels stayed intact.
5 Charts to Watch This Week
While retail chases the obvious moves, institutional flow is telling a different story.
These are the top Smart Money bets I’m watching this week:
Lyft Inc. (NASDAQ: LYFT)
7,500 contracts hit the September 19 $9 Calls ($322,000 in premium). That’s undeniable Smart Money positioning.
Robinhood Markets Inc. (NASDAQ: HOOD)
One of the strongest stocks of the past several years still shows aggressive call flow despite expensive premiums. However, when institutions pay high prices for options, they usually know something the rest of us don’t.
Amazon.com Inc. (NASDAQ: AMZN)
A long-term favorite of mine, AMZN is sitting right at massive resistance around $145. Multiple tops at this level, but if it breaks above, that’s a clean setup with defined risk.
Oscar Health Inc. (NYSE: OSCR)
Beautiful chart here with a break above $19.60, pop to $20, then a pullback. If you grabbed it early, you can profit-stop the position and let the rest ride.
Pinterest Inc. (NYSE: PINS)
PINS continues its slow grind higher, working through the monthly gap. This is what sustainable moves look like … not the explosive gaps that fade by lunch.
What To Take From Cooper’s Cheez-It Lesson
Cooper might throw all his birthday money into Cheez-Its and whatever stock he hears about next.
But you have an advantage he doesn’t: experience.
You know that the market rewards patience more than speed. You understand that the most obvious setups are often the most dangerous. You’ve learned that managing risk matters more than catching every move.
The traders who made money today weren’t the ones who reacted fastest to the opening bell. They were the ones who waited for confirmation, watched the flow, and entered when the odds were in their favor.
Do the same with the names I called out today.
Happy trading,
Ben Sturgill
P.S. President Trump is preparing to announce his boldest economic plan yet … a move to fast-track an unprecedented $9 trillion initiative…
But before it has a chance to become “law of the land…”
On Wednesday, September 10th at 8 p.m. EST, Tim Sykes is going live with $20 million trader Jack Kellogg…
Since Trump’s return to the White House, Jack’s banked a ridiculous $5.4 million in trading profits.*
*Past performance does not indicate future results
