Traders make MILLIONS On the China Stock Rally! $TIGR, $PDD, $FXI and $BABA! — Transcript

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1. 0:06hey everyone over the last few weeks in
2. 0:08some change we've noticed nonstop call
3. 0:10buying in a number of Chinese stocks in
4. 0:13this video we're going to cover a few
5. 0:15trades in the sector that really struck
6. 0:17us as unusual and aggressive now with
7. 0:20that said we'll start off with a deep
8. 0:21dive on the first trade we're going to
9. 0:23look at today on up fintech holding
10. 0:26limited ticker TI
11. 0:30September 30th we noticed large orders
12. 0:33adding up to over 9,000 contracts all
13. 0:36transacted at the ask for an average
14. 0:38fill price of a13 per contract and a
15. 0:42total net premium of
16. 0:46$927,000 one thing that's apparent in
17. 0:49this series of orders is that this
18. 0:50Trader opened their position at nearly
19. 0:52the high of the day for the stock at the
20. 0:55time of this fill here igr traded at $5
21. 1:0085 per share following a large gap up at
22. 1:03Market open from September 27th close of
23. 1:08$455 to a September 30th open around
24. 1:12$548 opening their contracts near the
25. 1:14high of day in the stock means they also
26. 1:16paid roughly the high of day's worth of
27. 1:18premiums we can see here in the
28. 1:20historical that the high of day for 930
29. 1:23was a buck 15 per contract and like I
30. 1:25said this Trader filled at a buck three
31. 1:28per contract pretty dang close close to
32. 1:30the high just $12 off as the day
33. 1:32progressed the tiger stock price back
34. 1:34traced the top of that gap's range
35. 1:37bottoming out at 522 per share the value
36. 1:40of the $6 call contract expiring on
37. 1:43January 17th 2025 dropped accordingly
38. 1:46reaching a low of about 60 cents per
39. 1:49contract a nearly 40% drop from this
40. 1:52Trader's entry now we can see here
41. 1:54through the volume profile that no
42. 1:56further substantial volume transacted
43. 1:59into market close CL on September 30th
44. 2:01and the total volume on the day ended at
45. 2:0512771 contracts then on October 1st here
46. 2:09we noted that over 11,000 of those
47. 2:12contracts carried over that confirms
48. 2:14that we had a new position open and stay
49. 2:17open into the next
50. 2:19day stock moving into September 30th saw
51. 2:23the tiger stock price rise back up into
52. 2:27that range of about 585 to $6
53. 2:30per share and on the first it Rose even
54. 2:34higher to reach a new high at about 628
55. 2:37per share our Traders contracts found
56. 2:40themselves back into profit reaching a
57. 2:42contract high of
58. 2:43a135 the real fireworks for this Trader
59. 2:46didn't come until October
60. 2:492nd now much like what we saw here on
61. 2:52September 27th going into the weekend
62. 2:54before the trading session on September
63. 2:5730th there was a large gap up into
64. 3:01October 2nd you can see that Gap right
65. 3:05here from an October 1st close of around
66. 3:09$621 per share tiger opened the trading
67. 3:12session on October 2nd at around
68. 3:15$771 per share a $1.50 jump from the
69. 3:19prior close during Market hours tiger
70. 3:22hit a high of
71. 3:24$63 per share now naturally that $6 call
72. 3:28expiring in January of 2025 reflected
73. 3:31this move at its peak the $6 call
74. 3:34contract traded at $3.50 per contract a
75. 3:38nearly
76. 3:39240% gain from their entry at a doll
77. 3:42three to put this in monetary terms this
78. 3:45Trader's original premium spent to open
79. 3:47the position went from
80. 3:50$927,000 to
81. 3:52$3,150 th000 in Just 2 days but as time
82. 3:56carried on and October 1st and 3rd came
83. 3:59to pass this Trader was able to see
84. 4:01significantly more upside on October 4th
85. 4:05that tiger $6 call for 117 2025 hit a
86. 4:09new high of
87. 4:11$710 per contract that marks a
88. 4:15589 per gain from the original entry
89. 4:18bringing the total value of this
90. 4:21position to 6,
91. 4:24399,000 in just a few days that brings
92. 4:27the total profit margin of this position
93. 4:29to5 milli
94. 4:30463,000
95. 4:32now we did see a little bit of evidence
96. 4:35of potential exits at the end of the day
97. 4:38on Friday October 4th with a th000
98. 4:40contracts transacting at the bid at 650
99. 4:43per and then another order of 400 at the
100. 4:46bid right at the high of day at 710 but
101. 4:49we'll need to see this open interest
102. 4:51update on Monday to confirm that
103. 4:53positional closure in addition to this
104. 4:56we noted additional unusual activity on
105. 4:58the $13 contract cont ract expiring
106. 5:00April 17th
107. 5:022025 first here we saw 5,000 contracts
108. 5:06at an average of 375 per contract just
109. 5:09minutes later we see another tab of
110. 5:12about 2500 contracts at 410 each and
111. 5:16another at 431 per contract for a total
112. 5:20of 10,000 contracts at an average price
113. 5:22of $3.99 each this trade is still open
114. 5:26as well and sitting at a little bit of a
115. 5:28profit hitting a of 529 per contract on
116. 5:31Friday October 4th but we'll need a
117. 5:34little bit more time to see just exactly
118. 5:36what happens with this and the tiger
119. 5:38stock price doesn't really show any
120. 5:40signs of slowing down the next trade
121. 5:42we'll take a look at happened on PDD
122. 5:45Holdings ticker PDD PDD activity began
123. 5:49back on September 24th when 19,40
124. 5:52contracts of the $115 call contract
125. 5:55expiring on November 15th transacted ask
126. 5:58size for an average price of
127. 6:014115 of those 19,000 contracts
128. 6:059,144 of them carried over into open
129. 6:07interest again confirming a new position
130. 6:09that stayed open on the same day around
131. 6:12the same time of day 15,000 volume of
132. 6:16the
133. 6:17$120 contract of the same expiration
134. 6:20transacted also ask side for an average
135. 6:23fill of $4 per contract both of these
136. 6:26positions carried over into open
137. 6:28interest with no signs of an exit in the
138. 6:31days that followed moving forward a few
139. 6:33days two more strikes on PDD got similar
140. 6:37attention first the
141. 6:39$135 call with 11,000 contracts carrying
142. 6:43over into open interest for an average
143. 6:45fill of
144. 6:46$4.72 per contract likewise the $140
145. 6:51call contract saw nearly identical
146. 6:53volume and open interest carryover while
147. 6:57these trades filled the ptd stock price
148. 6:59ranged between
149. 7:01$18.84 on 924 and as high as
150. 7:05$124.3 3 on
151. 7:08926 as the markets rolled into September
152. 7:1127th PDD continued climbing all the
153. 7:15while all four of these positions
154. 7:17remained open with no signs of an exit
155. 7:19matching the size of those original
156. 7:22positions on October 2nd pindo Duo
157. 7:25reached a high of $1
158. 7:2715519 per share pulling every single one
159. 7:30of these contracts deep in the money by
160. 7:34October 3rd all four contracts had
161. 7:36already paid off handsomely with the
162. 7:38lowest gain of these four contracts the
163. 7:40$135 call hit a profitability of
164. 7:4447% and the highest gain on the $115
165. 7:48call hit
166. 7:50888 gain the
167. 7:52$135 call and the $140 call showed some
168. 7:57signs of a partial exit and around 2,000
169. 8:01contracts of the $130 call transacted at
170. 8:04the bid on October 2nd with less than
171. 8:07half of that carrying over into the open
172. 8:09interest the
173. 8:11$115 call and the
174. 8:14$120
175. 8:16call appear to still be open in full as
176. 8:19you can see here in the historical
177. 8:21volume profile of the contract there
178. 8:23were no transactions with enough volume
179. 8:26to indicate a closure and here from the
180. 8:29unusual Wales inflows and outflows for
181. 8:32ETFs we can see that this frenzy wasn't
182. 8:35specifically limited to options
183. 8:37contracts looking at Chinese stock ETFs
184. 8:41fxi yin and yang we can see across all
185. 8:46three significant amounts of inflows
186. 8:50lots of buying for the entire month of
187. 8:53October so far now although we're only
188. 8:55in the first part of October these steep
189. 8:59price increases definitely have me
190. 9:01curious to see how things progress
191. 9:03throughout the rest of the month so all
192. 9:06things said and done all Traders on the
193. 9:08tigr and the PDD contracts profited
194. 9:12Millions upon millions of dollars during
195. 9:14the Chinese stock rally and that's just
196. 9:16so far now there are a couple more
197. 9:19honorable mentions I wanted to take a
198. 9:21quick peek
199. 9:23at one of them was the Baba
200. 9:26$116 call expiring on the 11th of
201. 9:30October that went
202. 9:32171% overnight from $2 per contract to
203. 9:38$543 per contract and the other and this
204. 9:42one's a bit of a doozy was the fxi and
205. 9:46ETF the $27 call contract expiring on
206. 9:50October 18th which had an entry price of
207. 9:54just 80 cents per contract and by the
208. 9:57time this Trader exited on OCT October
209. 9:594th you can see here the initial volume
210. 10:02on the 19th of September of nearly
211. 10:0412,000 contracts now coming off at the
212. 10:09bid for an average fill of
213. 10:12$8.50 per contract if we scale that to
214. 10:16the amount of contracts that transacted
215. 10:18and an entry price of 80 with that exit
216. 10:21of
217. 10:22$88.50 that's a 962 per gain worth
218. 10:279,696 th000
219. 10:30$385 in profit this has been quite the
220. 10:33wild week for Chinese stock investors
221. 10:36and I'm really curious to see where
222. 10:38things go from here now that does it for
223. 10:40me for this week's flow trade review on
224. 10:43these Chinese stock names I'll be back
225. 10:46next week with another episode and
226. 10:48another flow review take care everybody