Guys, we're going to talk about Bloom

Energy. This stock has a lot of implied

volatility, which is the focus of my

video today. I want to give you analysis

on Bloom Energy, and then I want to talk

about this implied volatility and what

we can do from it as option traders. So,

on August 19th, Bloom introduced Power

Connect, and for the past 2 weeks, my

community has been asking me a lot about

this stock, and I've covered it a couple

times on my channel. It's been very

interesting, but now I think this is a

perfect opportunity for investors to run

an option strategy that I'll discuss

later. But first, I want to give you a

breakdown of the technical analysis and

what I think is going to happen with

Bloom Energy next. So, take a look at

the chart right here. You can see that

Bloom Energy has basically spiked to

over $300 per share, and then the stock

has taken, you know, a nose dive all the

way down to under $200. The volatility

has been very intense, and what you see

right now from this fall is actually a

stabilization. So, here we have some

stabilizing activity in all of August

for the past 30 days, and this right

here, these black lines, this is a

Bollinger Band. This is one of the key

technical analysis tools that I teach

within my community. I've been teaching

the Bollinger Band for 6 years now, and

what I like about the Bollinger Band is

that it tells me the range where the

stock is likely to trade. So, what

happened on August 19th is Bloom

introduced Power Connect, which says

they can reduce on-site installation

time by more than 40%, and time is the

most important factor right now because

speed to power is actually the

bottleneck that I see. So, this is

really important because Bloom's biggest

advantage is speed to power already. So,

do you guys realize that speed to power

is Bloom's competitive advantage, but

now is August 19th, Bloom introduced

Power Connect, this actually reduces

their on-site installation time by more

than 40% further. This gives them a

significant competitive advantage, and

this is why I think that Bloom Energy

stock is actually likely to go towards

the higher end here of, you know, next

20 days. I think the next 20 days is

going to be very insightful with Bloom

Energy. I think $2.40 per share is kind

of like my price target, which is pretty

insane because the stock is so volatile,

you know, 240 might not seem like a lot,

but that's a lot. That is a lot, okay?

Because a 10% move in the stock is 20

bucks. So, going up to 240 is over a 10%

move. That's insane, okay? And if I

catch that in my community, which is my

plan going into um as the market opens

up, then we're going to do well. We're

going to make some money. So, Power

Connect is kind of my catalyst here why

I think the stock can go up. But just

generally speaking, I'm not a market

predictor in my community. What I'm

doing is I'm actually option selling

because my main goal is income. I think

a lot of people want and need income,

the most important component to how we

live our lives. So, that's what I've

been focusing on for the last 6 years as

a coach is producing income. And that's

really through option selling. So, when

I used to work at Goldman Sachs, I read

tons of research and everything pointed

me to option selling. That's why I

prefer to sell options. So, I'm going to

show you kind of what strategy that I'm

looking at, but I wanted to summarize my

video real quick just in case you don't

have time. So, Bloom isn't just trying

to produce cheaper electricity. They're

trying to sell something AI companies

may value right now way more than

anything else, which is really time,

okay? That's what I think Bloom Energy's

advantage is. And that's the point of my

video of why I am pretty bullish on

Bloom Energy and I think $2.40 per share

could happen in the next 20 to 30 days

and the option strategy that I'm going

to discuss is going to be the wheel and

I'm going to show you what strike prices

I'm going to pick. So, that's basically

everything I'm going to cover in this

video. All right, so let's kind of dive

in a little bit deeper now. So, I'm

going to go to Trade BE Options. It's

really conveniently at $200 per share

right now and we can see that the market

cap is at a $60 billion market cap. I

think, you know, I'm not going to say

it's a $100 billion company, and I don't

even need to say that. All I'm trying to

do is, with the wheel strategy, I just

want to collect a ton of premium. That's

my goal. I just want to make hand over

fist, bicep over tricep, premium.

Premium cash flow. That's That's it.

That's all I want, right? I'm not trying

to hold this stock into the future. I

don't think this is the next Nvidia or

anything like that. Although their

numbers are getting pretty crazy, like

in Q2, Bloom, their strongest quarter

ever was over a billion dollars in

revenue. So, it was 1.065 billion. And

when you look at the revenue growth as a

percentage, boy, oh boy, that percentage

is wild. 166%

year over year. Honestly, like when I

look at their partnerships, it's it's

looking good. So, one main partnership

that they have is a Bloom and

Brookfield, which actually ended up

expanding their AI infrastructure

financing partnership from 5 billion to

25 billion in June. So, you know, that

was like 3 months ago, right? We're in

September. But, what's interesting is I

do see that playing out in their like in

their money. In their money, money,

money. Their money's looking great.

Investors that are looking to make

money, I think Bloom Energy is a good

position in a portfolio. It's volatile,

and it's not cheap, but hey, if you got

some money, if you have a portfolio

that's, you know, in the five figures,

multiple five figures, man, there's a

lot of money we can make off of options

There there is, honestly, genuinely a

lot. So, their relationship with

Brookfield's financing increased by 5x

from 5 billion to 25 billion in June,

and

you know, I think that's going to

continue to lead them into high revenue

growth. So, that's why I like this. I

think Bloom doesn't only need customers,

they they need partnerships, okay? They

need to really tackle this as fast as

possible, because in AI, things are

changing so fast. They they got to make

quick money. They have to scale fast,

make fast money cuz who knows what

competition's going to look like. There

is risks to competition, for sure. So,

when I look at Bloom Energy, I think

they're bringing the power right now in

technology. So, let me go to trade Bloom

Energy BE stock and I want to show you

what I'm looking at. So, I just want to

go back here to the technical analysis.

If I'm running the wheel strategy,

right, you can see here that there's

kind of mindset that you should have,

okay? Yes, I'm bullish, but we also have

to look at risk management. That's what

sets me apart from every other my

competitors and YouTube coaches that

came after me on YouTube that have some

of them have grown bigger than me is

they talk about hype. They talk about

this, buy this and do this, but often

times I see people coming from their

programs into my programs and having

better experiences with me. Why is that?

Because a lot of beginners, they're

chasing hype, okay? And it's all fun and

games and it's really exciting to make a

bunch of money and, you know, other

channels and and all these other picks

that you guys are seeing online, they

work in good markets. But what happens

when, you know, kind of the roof caves

in? What happens when the weather is

bad? What happens when implied

volatility is high? How do you protect?

How do you guard against, you know,

losses, right? That's the most

important. That is the missing piece

that YouTubers can't really cover

because they're not financial experts.

They don't have degrees in finance or

experience on Wall Street, like, you

know, your boy Uncle Henry here has.

This is not to brag, I'm just saying

risk management is the most important

piece that you need to understand and

one simple way, one of the ways that I

assess risk, is I look at the Bollinger

Band. So, what is the bottom of the

Bollinger Band? How low could this stock

potentially go next 20 days,

technically, right? I look at it

fundamentally as well, that's beyond

this video. Technically though, 194.

That's it, okay? 194 here, the moving

average.

I'm going to zoom in here to the moving

average a little bit. We can't really

see it, but the moving average is

looks like it's around 240, 238. So, we

see that the stock is below the moving

average. It's a little cheaper than the

last average 50 days. That's actually a

good sign. It's a little bit better of a

value. So, if we bridge this gap, we got

$35 to go or so. And on the bottom end,

I don't see the stock falling, you know,

below 194 in next 20 days. It would be

unusual. It can happen, but it would be

unusual. So, we have about, you know,

$20 on on the downside for protection.

So, look, if I'm going to run the wheel

strategy, okay, I love the wheel, been

teaching the wheel all the time weekly

for seven, six years. It's been a long

time. And I like the wheel specifically

on high implied volatility stocks.

That's why DE is good because BE high

implied volatility. Let me show you. So,

if I go for next 20 days out, let's say

I I want shorter-term income, okay,

that's my goal here. Then, I'm going to

go down here. I'm going to I'm going to

expand the 190. We're going to take a

look at it. You can see the implied

volatility is about 80, okay? Typically,

stocks are 30, 35, 40. Above 50, that's

high implied volatility. It's high.

That's good because as an option seller

who's running the wheel strategy, um it

is more profitable to sell options when

the implied volatility is high, okay?

So, again, our bottom is about 194. So,

you know, if I wanted to be safer, if I

wanted to generate income and and be um

safer in producing income, then I want

to go below, you know, where I think the

support level is. 190, I would say, is a

mini support. I'm not going to call it a

strong support because the fact is AI

stocks are super volatile. So, I'm

trying to optimize here, okay? My goal

is to optimize. If I want to produce

money, if I want to produce fat stacks

of cash, just cash, I'm trying to build,

trying to get bicep over tricep results.

If I want that type of scale, I must not

only be safe because I don't want to

blow up my portfolio, I must also look

for high implied volatility. Biggest

lesson, biggest takeaway. So, with BE,

the delta here is 0.28, which is pretty

good. That means there's a 20% chance

of, you know, BE going to 190 or below

based off of the delta. Okay, the delta

is a great metric. It's one of the most

important metrics that I look at all the

time. Delta is incredibly, incredibly

important. Okay, the bid-ask spread here

is pretty tight. 697 15 is good. That's

tight bid-ask spread. So, simply to

start the wheel strategy, you just sell

puts. Okay, it's it's a pretty simple

process overall. So, if I sell a put

here, um it's about $700, okay, which is

you know, pretty decent. It's definitely

not uh anything crazy. So, if I wanted

to increase this, I would just go closer

to the money. So, I would go 195 right

here. Let's expand this option. Now,

this one does have implied volatility

exactly 80. The delta here would be a

bit higher. So, right here I would

collect $880.

And, you know, this is very attractive

because it's only in a 2-week period.

Now, what's more attractive is the

second portion of the wheel strategy,

which is once you get assigned, right?

You're basically selling a put with the

risk and danger of getting assigned.

That's not a bad thing. You know, let's

say that we got assigned last week or

what or right? And Bloom Energy's at 201

and we got assigned at 202, 203, right?

So, we're under the water uh a bit,

[clears throat] right? So, what we what

would we do, right? Once you get

assigned in the wheel strategy, we just

sell calls. Just keep it going. Keep the

cash flow going. Keep that, you know,

money coming in. How do you do that?

Sell calls. As soon as you sell puts,

once you get assigned, you will get

assigned. Your risk is pretty high

because, you know, the delta's around

30. Three out of 10 times you'll get

assigned. And then what? You got paid

$880. Okay, now what? Well, now you sell

calls. So, if your average cost is 202,

yes, in the wheel strategy the way I

teach it is you want to sell covered

calls above your average cost because

otherwise if you sell a call a covered

call on the shares that you have and

it's below your average cost, well,

you're not you know, you can still make

money depending on your average cost,

but ideally we want to be above our

average

cost per share. Okay? So, let's go for

an option that is going to be above our

theoretical 202 average cost, which is

205. We don't have to go too much

higher, although I'll tell you I do

think BE can be 240 and because I do see

a short-term run, I probably would give

myself a bit more room. Let's go for

let's say 215 here, okay? Now, this is

really interesting because

you have upside up to 215. You have nice

premium $1,100. You can actually you can

actually see here it seems like the

options are skewed towards calls. You

can see that I'm going out of the money

by a lot and the premium is still really

really high. So, it seems like

um there's a skew where call pricing

right now is more, which also is a

pretty bullish indicator. Okay,

investors seem to be placing more

volatility and more skew. You can see a

little bit higher on the implied

volatility. We can see a little bit of a

skew for the calls. Okay, so that's a

pretty decent indicator that there could

be a bullish move and option traders are

potentially also thinking that that

could be the case. So, 215 here, premium

is actually nice. Very very very nice.

So, yeah, once you get assigned in the

wheel strategy, you have shares, right?

Each contract is 100 shares and you just

sell out of the money covered calls on

the shares. So, you still have your

shares, you sell 215 covered call.

Premium here is $11.20,

which actually effectively makes your

break even $226

per share. So, when I look at

like as a company what Bloom Energy is

doing, they're solving the time problem.

This might be more important than the

fuel cell technology itself. Okay, so I

think that timing is really important.

Investors realize that. You know, this

is a big part of the AI bottleneck.

Also, all the hyper scalers are also

using BE. So, yeah, I'm pretty bullish

on it. I don't even think we need to go

to 240 for investors to see, you know,

great cash flow, great premium

collection from option selling, which

is, you know, what I'm known for, what

I've been doing for I've been personally

doing it for 11 12 years thereabouts.

And I've grown my portfolio to seven

figures. A lot of it from option

selling. But in the earlier days, I was

also option buying. I think Bloom Energy

has lots of opportunities for option

buyers. If you want some of my option

buying strategies and what I'd be doing

with BE, I'm going to be discussing that

live in my Discord community. So, I

welcome you to to apply and find out

more information in my description if

that's something that might be

interesting to you, might be a fit for

both of us to work together. But either

way, this is something I want to share

here on YouTube. If you appreciate this

content, make sure to subscribe and

yeah, I'll catch you in the next video.