Scott Bauer verified

Scott Bauer verified

Professional Options Trader
CEO of Prosper Trading Academy

Watchlist Date: (07.27.2026)

Scott Bauer's Options Picks

Options Picks To Keep on Your Radar This Week

Overview

Wall Street faces one of its busiest weeks of the summer, with earnings from four of the Magnificent Seven companies, the Federal Reserve's latest policy decision, and key inflation data all set to test a market trading near record highs.

Microsoft (MSFT) and Meta Platforms (META) report Wednesday, followed by Apple (AAPL) and Amazon (AMZN) on Thursday. The results are expected to provide another major test of investor appetite for AI spending.

The Federal Reserve will announce its latest interest rate decision Wednesday afternoon. Most economists expect policymakers to leave rates unchanged at 3.5% to 3.75%, with investors instead focused on Chairman Kevin Warsh's comments on inflation, economic growth, and the outlook following the recent jump in oil prices.

Inflation returns to the spotlight Thursday with the release of the July core PCE price index, the Fed's preferred inflation gauge. Economists expect annual core PCE inflation to rise 3.3%. Durable goods orders on Monday, home price data on Tuesday, and Friday's Brent crude expiration could also move markets.

Outside of Big Tech, earnings are due from Visa (V), Boeing (BA), Coca-Cola (KO), Qualcomm (QCOM), Starbucks (SBUX), Shell (SHEL), Coinbase (COIN), Chevron (CVX), ExxonMobil (XOM), and AbbVie (ABBV).

Investors will also watch the expected IPO debuts of Jersey Mike's (JMKE) and Ticketplus (TP).

Here are some of the names we will be watching this week:

Options Pick #1: Agilent Technologies, Inc. (A)

Agilent Technologies, Inc. (A) provides application focused solutions to the life sciences, diagnostics, and applied chemical markets worldwide. 

The company operates through three segments: Life Sciences and Diagnostics Markets, Agilent CrossLab, and Applied Markets. 

The Life Sciences and Diagnostics Markets segment offers liquid chromatography systems and components; and liquid chromatography mass spectrometry systems. 

The Agilent CrossLab segment provides various services, including repairs, parts, maintenance, installations, training, compliance support, software as a service, asset management, consulting, and other custom services. 

What we are looking for:
A is at the top of the Donchian Channel and is set up for an Inside Bar entry.  If we can trade above $142.29, I will consider a bullish Call Calendar Spread targeting the $150 strike.

Options Pick #2: CME Group Inc. (CME) 

CME Group Inc. (CME) operates contract markets for the trading of futures and options on futures contracts worldwide. 
It offers futures and options products based on interest rates, equity indexes, and foreign exchange; and agricultural, energy, and metals commodities, as well as fixed income and foreign currency trading services. 

The company provides clearing house services, including clearing, settling, and guaranteeing futures and options contracts, and cleared swaps products traded through its exchanges. 

In addition, the company offers a range of market data services, including real-time and historical data services. It serves professional traders, financial institutions, institutional and individual investors, corporations, manufacturers, producers, governments, and central banks. 

What we are looking for:
CME is at significant resistance sitting right below its 50-day moving average.  But if we can clear this resistance, there is significant room to the upside.  If we can trade above $257, I will consider a bullish Call Diagonal spread targeting the 200-day moving average up at $278.68.

Options Pick #3: Alphabet Inc. (GOOGL)

Alphabet Inc. (GOOGL) offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. 

It operates through Google Services, Google Cloud, and Other Bets segments. 

The Google Services segment provides products and services, including ads, Android, Chrome, devices, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search, and YouTube. It is also involved in the sale of apps and in-app purchases and digital content in Google Play and YouTube; and devices, as well as the provision of YouTube consumer subscription services, such as YouTube TV, YouTube Music and Premium, NFL Sunday Ticket, and Google One. 

The Google Cloud segment offers consumption-based fees and subscriptions for AI solutions, including AI infrastructure, Vertex AI platform, and Gemini enterprise. It also provides cybersecurity, and data and analytics services; Google Workspace that include cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet; and other enterprise services. 

The Other Bets segment sells transportation and internet services. 

What we are looking for:
By now, we all know that GOOGL got clobbered on earnings mostly because of increased spending in the AI-space.  I believe that is overdone.  We are at the edge of the abyss with GOOGL sitting right at its 200-day moving average.  If we can trade back above $325, I will look to approach this with a bullish Broken-Wing Call Butterfly targeting the $350 strike.

Have a great trading week! Keep your risk in check and stay disciplined!!!

- Scott Bauer

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