RPP Newsletter – July 21st, 2026

 

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Please note our weekly Rebel Pit Pro webinar will be held on Tuesdays at 9:00 AM ET. If you miss the live session(s), replays will be posted in the ‘Webinars’ tab.

 

The Trade:

Robinhood Markets, Inc. - HOOD - $99.28 Last Price

Buy the July 24th (24July26) expiration 101.00 call for roughly $3.30

with the stock above the $101.53 Level (200 SMA currently) in an up (bullish) market.

OR

Buy the July 24th (24July26) expiration 98.00 put for roughly $3.00

with the stock below the $97.98 Level (Flat Line) in a down (bearish) market.

 

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HOOD's Daily ATR is $6.70 while the Weekly ATR is $13.89. Fundamentals: Robinhood Markets, Inc. operates financial services platform in the United States. The company's platform allows users to invest in stocks, exchange-traded funds (ETFs), and American depository receipts. It offers fractional trading, recurring investments, access to investing on margin, fully-paid securities lending, cash sweep, instant withdrawals, retirement program, around-the-clock trading, joint investing accounts, event contracts, future contract services, and short selling. The company also provides various learning and education solutions comprise Snacks, an accessible digest of business news stories for a new generation of investors; Learn, which is an online collection of guides, feature tutorials, and financial dictionary; Newsfeeds that offer access to free, premium news from sites from various sites, such as Barron’s, Reuters, and Dow Jones. In addition, the company offers In-App Education, a resource that covers investing fundamentals, including why people invest, a stock market overview, and tips on how to define investing goals, as well as allows customers to understand the basics of investing before their first trade; and Crypto Learn and Earn, an educational module available to various crypto customers through Robinhood Learn to teach customers the basics related to cryptocurrency. Further, it provides Robinhood credit cards, cash card and spending accounts, and wallets. Robinhood Markets, Inc. was incorporated in 2013 and is headquartered in Menlo Park, California. On the Upside: Target Resistance levels are up at: $102.92, $104.03, $105.70, $106.85 (20 SMA currently). These are levels at which trimming/rolling/combi, and closing for profits can be considered. On the Downside: Target Support levels are down at: $94.30, $93.43 (50 SMA currently), $91.28. These are levels at which trimming/rolling/combi, and closing for profits can be considered.

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Commentary: As covered in this past Weekend's Video 📺, the market is threatening to sell off due to GEOPOL news and other factors related to the AI Trade. We thought there could be a relief rally attempt made in the near future and with that, the Gang flipped the script. We've been seeing early morning weakness on Mondays but instead we were served up a rally attempt that failed quickly. From there, stocks retreated back towards the lows of the past 2 sessions. SMH, behaved in a similar fashion though it did manage a meager positive close for the session. It remains one our the key watches along with the USD/JPY. The latter is uncomfortably close to a breakout move while the former is in a tough spot as of now. It looks conerning heading into tomorrow's session but we must not rule out a Turnaround Tuesday given that the Gang has managed to step in, most times, exactly when needed and we're close to that type of juncture now. As is normally the case, in this past Weekend's Video 📺, Market Breadth and Sector Views were covered and, objectively, they're not too bad on balance but with SMH and MTUM struggling combined with MAGS treading water, there's little leading this market up at the moment. With that we will once again we note that the $DXY, TNX (10 Year Yield), USD/JPY - are near or back to potentially concerning levels, something traders may not want to lose sight of for long. We strongly urge Rebels to keep a close eye on these if they're moving higher and SMH if it is moving lower as the market may not be able to ignore those developments much longer. Swans: Black, Gray and White or put another way, NEWS Developments. The Trump administration nearly constantly produces new news some of which is very surprising, so be ready for anything! That applies for this week and likely well beyond! And it may not only be the Trump administration with the current state of affairs in the world! HOOD is our focus name of the week. HOOD has been both good and bad of late, as in, it is moving around.  An argurment can be made that it could pop back up towards the 20 SMA on the bullish side, but on the bear, it could drop near the 50 SMA this week. This week was a tough one as Implied Volatilities are elevated in many names so we had to search far and wide for names that could be traded within reason. Pending EPS Reactions being set to pick up, single stock volatility and a boatload of risk factors are likely all contributing to the "Vol" environment presently. HOOD seems capable of going Risk On and Risk Off. The options' cost vs. the ATR(s) is one of the few that can make the cut. Of course, GeoPol news could change momentum quickly in all directions at any time! Keep the impact of the news cycle in mind when managing this week!  Reminder: Trade the market that's in front of us! HOOD normally offers excellent options market liquidity in which to transact. Risk: The total risk is the amount spent on the call or the put at the time you trigger the trade. What you spend is the most you can lose! Reward: Our reward will be in the increase in the value of our calls or puts from the trigger price to the target prices or your chosen exit price … whatever comes first. Stop Price:  Our call stop will be the stock trading (closing) back down below $101.53. Our put stop will be the stock trading back up (closing) above $97.98.  Notes 1 – It is important that we remember that this has the potential of being a two-way trade depending on market direction and commitment. Notes 2 – Don’t forget to use RPP Risk Calculation  Bonus Names: PLTR, CRWD, QCOM.    Please note our weekly Rebel Pit Pro webinar will be held on Tuesdays at 9:00 AM ET. If you miss the live session(s), replays will be posted in the ‘Webinars’ tab. Market Outlook

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Please note our weekly Rebel Pit Pro webinar will be held on Tuesdays at 9:00 AM ET. If you miss the live session(s), replays will be posted in the ‘Webinars’ tab. Options School

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Please note our weekly Rebel Pit Pro webinar will be held on Tuesdays at 9:00 AM ET. If you miss the live session(s), replays will be posted in the ‘Webinars’ tab.