Okay, we're back here live at Brocade's technology analyst day for the big announcement of the Ethernet fabric simplicity, software defined networking, the whole emerging cloud mobile social, just in the lead of the VP of Data Center, Enterprise Networking for Brocade.  Thank you, I am, it's going to be back. You guys are hosting us here, a lot of activity, obviously a lot of news today, we've been covering a segment on the iPhone 5, which is great, it's great for you guys because it's such a great marketing tool for Brocade because everyone can see the benefits, LTE, more traffic, more bandwidth, more bits on the wire. More bits on the wire, but under the hood, there's a huge revolution going on in tech right now, specifically on the data center side and also on the service provider side. Obviously consumerization of IT has been kind of talked about for a long time, but really you're seeing a collision between service provider and data center, service providers want to be more like data centers, data centers want to be more like service providers, Mike Claco is just telling us, so that's requiring people to rethink architecture to take advantage of these new opportunities, so give us a state of the union from your perspective because you're out there leading the charge inside the company. Yeah, absolutely, I mean I couldn't agree more, I mean the data center is undergoing massive transformation right now and if you look at kind of any layer in the stack, you know there's opportunity to adopt emerging technology in any location in the data center because there's so much innovation going on. In our particular case of course it's about fabric technology and we've been leading the category for about two and a half years now, we were the first to introduce the term, we were the first to ship product, we're now on our third wave of deliverable in Ethernet fabric or what we call VCS fabric technology and today we're very excited to be announcing our new high end VDX switch that's an Ethernet fabric modular chassis, the VDX8770, you know it allows customers to scale up to 8,000 ports in a fabric, up to 380,000 VMs attached to a single fabric, you know very very low latency at 3.58 microseconds port to port, a four terabit per slot backplane to allow for the adoption of new data center technologies as they emerge such as 100 gigi which will be shipping next year on this platform and things like SDN which I know is a hot button for everybody but we built into the A6 on this platform support for overlay networking and tunneling protocols like VXLAN. I want to ask you about the VM where acquisition of this year because that's what everyone's talking about but as we were talking with your CEO Mike Claco about the investments you guys made, you made some really good bets and they're paying off, it's like the old expression skating through where the puck is you guys are right there right now, the market is spun in your direction and you've got a huge opportunity to just thrust upon you guys and you've got product and technology so two questions, one is comment on the VMware acquisition of this year, what that means to the industry because it's changing networking, it's changing that whole configuration and what people are doing and two, how you guys are addressing that right now. Yeah, well I think you know kind of first and foremost it certainly legitimizes the movement around network virtualization. I think prior to the acquisition there were a lot of startups in the space, there was a lot of kind of hype but not a lot of activity. I think VMware has put a big stake in the ground here and we've been partnering with them for many years so we're very supportive of what they're doing there. You know for us it means enabling the physical infrastructure to be a better kind of underlay if you will to that network virtualization layer. One of the challenges that customers are going to find and even NYSERA points this out in their own marketing literature is when you add network virtualization to an existing physical network infrastructure through tunneling protocols, STTV, X-Land, NVG, or EPIC-1 you're actually adding operational overhead to that environment because you have a whole another layer you're putting on top of the network. The question is how do you prevent that from just being a kind of a doubling up of operational administrative burden for the customer? Well one way is you simplify, you automate, you make more reliable the physical infrastructure under that overlay network and that's exactly what VCS Fabrics are intended to do so we see them as entirely complimentary VCS Fabrics and SDN whether it's VX-Land or OpenFlow. I'm joined by my co-host in this segment, Stu Miniman, analyst at Wikibon has been covering this area. Stu what's your take on this? I mean, what do you think? So John, you know one of the things that's kind of interesting to watch is if you look at one of Brocade's big strengths it was the go-to-market was through OEMs and they had great partnerships with a lot of technology partners and this year for the technology event we're actually sitting here in a pavilion which has a lot of partner solutions. So Jason I hear you talking about kind of the third generation of waves of Ethernet fabrics and making a lot of progress so some impressive stats on the product figure. Can you talk a little bit about your partner ecosystem, the solutions and what's changed in Brocade's go-to-market and who you're partnering with to get there? Yeah totally so we continue to leverage our long-standing OEM partnerships that we've had on the storage or networking side for many years. We continue to leverage that with our entire IP portfolio including the VDX product offering. But we're also having to establish new relationships and the relationship with VMware on VXLAN would be a great example where VMware is dependent on the networking infrastructure providers coming to the table and enabling VXLAN. They can't do it without us. They have to have things like VXLAN gateway capability. They have to have VXLAN switching, deep packet inspection, control of that traffic. That's where a fabric technology like VCS comes in because we've enabled that product to understand VXLAN natively. So no compromise on performance, no compromise on trade-offs between VXLAN functionality and other functionality. They simply work together. So my question on the innovation side, I want to get your industry and also your personal perspective obviously networking has been one of those areas that people have been pointing to and said, you know there's bottlenecks there and now with virtualization kind of becoming prevalent everywhere. And from an IT transformation standpoint that's been kicked around obviously transformation is happening. Where do you see the biggest action happening? Where's the biggest pivot points within the enterprise data center that is seeing the most pressure in terms of that there will be the lever of transformation? Yeah, I actually think it is the network and that'll sound self-serving of course since we're in the network space but I'll tell you why. I think server virtualization is well established. It's well entrenched. Even VMware will tell you they're up around 50, 60% virtualization now. So more to do there but there's no big transformation that's going to take place there. The network is the next battleground here. It's the next area of the data center where we can try more efficiency and more flexibility in particular through virtualization technologies like overlay networks. I think storage is also going to be a kind of a member of that party at some point and we're also working with VMware on some of their storage virtualization initiatives things like VVol and distributed storage architecture. You know these are areas where we obviously bring a lot to the party as well. Explain for the folks out there who are watching all the noise because there's a lot of noise right now obviously there's been a lot of noise because it's open flow. We've seen that from the beginning, from academic now, hitting the market very, very fast. Obviously the Nacera startup, billion dollar exit acquisition with VMware really brings this to the main stage. So people are looking at this for the first time and seeing a lot of smoke and fun and noise. So explain to them the reality of what is really going on here for the folks in an IT professional or a data scientist or someone who's in a classic data center role. Demystify and talk about what the hell is this software to find networking? Yeah, yeah, yeah. So I had this question in the forum earlier today and somebody was asking about real customer adoption and the reality is that all of our customers that we're working with are in education mode, right? They're trying to figure out what's real, what's not real and why is the technology relevant to them? And I think you have to be careful not to use the term SDN too broadly because we tend to throw everything into that bucket, right? We throw network virtualization in that bucket, open flow, even cloud orchestration. You have to disaggregate that and take a look at each of the technologies individually. The thing I like about open flow is open flow really kind of unleashes the potential for innovation in the network infrastructure. Historically, that innovation has been entirely a function of network equipment vendors and how often they rev their firmware and the switches and what functionality they add. With the addition of open flow as a supplementary technology, you now have two points of innovation. You have the traditional switch firmware and the network equipment vendors adding more and more functionality but now you have open flow based applications that are able to influence network behavior again in a supplementary way to make the two of those more powerful. So now you have a whole new ecosystem possible of open flow application developers who are able to influence network behavior in a way they couldn't before. So that's a great example I think of where there's tangible benefits to a software defined network and specifically open flow. What are the biggest challenges in the data center from your standpoint around this migration to software defined infrastructure? I don't want to say software defined data center because it's really infrastructure because the classic enterprise is really turning into a service provider. They have to have more applications and act like a service provider rather than the buckled down siloed enterprise. So they got to be scalable, they got to be frictionless, there's got to be a lot of VMs going on. So what is the software defined infrastructure mean to you? You know I think, so the two challenges that I think customers are going to kind of realize here as they embark on this journey is in what I've already mentioned that is that when you add a new technology like open flow or network virtualization through overlay tunnel technology, you're not removing the physical infrastructure. It still needs to be scaled, it still needs to be managed, it still needs to be diagnosed, it still needs to be upgraded from time to time. So you're actually adding additional operational overhead administrative burden. Now that can be mitigated if you deploy an underlay physical network infrastructure like a VCS fabric that's more fully automated, more efficient, more reliable than historical legacy land architectures which were never built for the modern data center. The second challenge I think is that customers are probably confused about whether or not this new world of network virtualization open flow is exclusive to their legacy architectures or their legacy routing and forwarding technologies. And the reality is we think they're supplementary. Nobody's going to stop doing routing or stop doing traditional forwarding techniques in their established network for the sake of open flow. They're going to add it as a supplementary technology. And this is where our hybrid open flow support on the MLX router platform in particular allows a customer to say, look, I'm happy with all my traditional routing and forwarding, but I'd like to have some policy based routing behavior that's influenced through an open flow based application. That's exactly the approach we're taking. So it's very much incremental rather than having to rip and replace your entire forwarding infrastructure. So if someone says bottom line me Jason on the benefits, I have my staffs overworked, everyone's working around the clock, adding more gear, more switches, scaling our infrastructure. Where does Brocade help me? I mean, is it shifting people to analytics and helping staff move over here? Are you eliminating pain points, all the above? Well, so I would go back to the VCS Fabric Value Propositions. And first and foremost, it's the ability to automate the network, right? Through a variety of features that we have in terms of VM discovery and propagation of VM port profiles throughout the network, the ability to form automatic trunk groups, the ability to do equal cost load balancing and multipathing at all layers of the network. These are all capabilities that fully automate the infrastructure, the network infrastructure in particular, freeing the network administrative team to go off and do some new things, right? They're being tasked with all these new initiatives, but they typically don't get a lot of new budget to go do that. So we have to find ways to extract complexity out, extract cost out, more fully automate the network. So these guys have time to go do the new initiatives. And that's probably the best example. So Jason, we've been riding this wave of 10 gig adoption for the last 10 years now. When I heard most of the service providers that we have here, it was that transition from one gig to 10 gig that kind of gave you the opening. What I want to ask you about is 40 and 100 gig. The next steps here, Brocade has a nice 40 gig and 100 gig bandwidth on the new products. What are you seeing out in the marketplace? Who's driving you? Is it still 10 companies in the world that need the really high bandwidth? And what can users expect and when should they start paying attention? Yeah, well, I mean, the old adage about bandwidth is if you build it, they will come, right? The applications show up, use cases show up and people consume all the bandwidth you can give them. I think we made a strategic decision a couple of years ago to invest heavily in 10 gig and then invest in 100 gig. And the investment at 100 gig is really paying off in the service provider space. We're also seeing some high-end enterprise companies adopting 100 gig at this point too. Now we're going back and rounding out the portfolio with 40 gig. Curtis announced a 40 gig on the new VDX 8770, up to 96 ports of line-rate non-blocking 40 gig on that platform as part of a fabric deployment. And so we're kind of agnostic on this point. We think 10 makes sense, obviously it's well-established now, 40 is going to make sense and 100 is going to make sense. And we intend to lead at the very front end of all of that transition. Okay, management is obviously pretty critical. What do you see Brocade's role in the management ecosystem? Yeah, that's a great question because I think there are a couple of different dimensions you could take there. If you just think about network element management, then we clearly see ourselves delivering to customers a very holistic, very complete network element management solution. The whole life cycle of deployment, configuration, monitoring, operations, upgrades, the whole thing. When you talk about cloud orchestration and orchestrating all the assets in the data center, that's clearly a partnership play for us because if every network vendor came to the table with a different cloud orchestration framework, it would be a mess, right? So we're partnering with VMware on vCloud, vCloud director suite going forward. We're investing pretty heavily in OpenStack because we think that's a really interesting open source consortium approach to delivering a homogenous kind of cloud operating system or orchestration layer across all vendors. And so that's a partnership and an investment model for us with our partners going forward. Microsoft? Microsoft included, yes. Okay, that's, we're out of time. Jason, thanks for coming back on theCUBE. Congratulations on your launch.  More and more stuff's happening. It's an exciting time in tech, both at the end user side and also under the hood. Congratulations. We'll be right back here at theCUBE, special broadcast here at Brocades Technology Analyst Day in Silicon Valley, California. This is SiliconANGLE TV, we'll be right back.


t Dominique. I think, you know, from our perspective, the barriers are, you know, sort of built around if you want to mean issues. One is the one that the echo already mentioned is the ethical dilemma between the acute and the anticipatory. You know, how do you overcome that sort of humanitarian imperative for acute, but knowing that anticipatory would probably be better and more efficient and more effective but yet try and find that balance both from a decision making perspective but also from a distance perspective in trying to change your investments and your financing, right? So I think that's the bigger one sort of at the top of the level. The other barrier I think we see is and I think your colleague from FA already mentioned this, the issue around social protection systems. I think the social protection systems were not built you know, for using, you know now readily available risk information in packageable form and ready to be understood form in some sense. And I think the adaptation of social protection systems and the interventions to this, you know, risk-based model I think would be a key to reduce that barrier especially for food security purposes because in many cases we know that protection of livelihoods and you know, cash as an instrument and now using technology in particular to distribute cash. So the, you know, the earlier barriers that we had for delivery are not there. The barriers that we have now are the social policy level to try and make it more trigger-based and you know, more easily identifiable so they can be implemented. Thank you very much, Mupinda for your comments. And finally, let me move to Mr. Jamal. Adi, you refer to the situation in the desert locust situation in the IGAT region. Could you tell us what anti-patterny measures as IGAT put in place to mitigate future impacts of desert locust on the food security and nutrition situation of communities in the region? Very briefly, please, one minute. Thank you, Dominique. I think the anticipatory action that IGAT did was mostly trying to get political build-up of advocacy for the desert locust issues. I think the convening the ministers every once a while and being not only the ministers and these ministers, we also brought all the humanitarian agencies also in this meeting, bringing the partners together is already making sure that the issue of desert locust is here with us and the countries need to be prepared for it. And in cases where there's a shortfall in one of the countries, we used to provide press releases and press conferences to make sure that that country is resourced adequately. That's mostly the funding part, it was a difficult part, but also we looked at the longer, in-medium term sort of things. Focus on the humanitarian food crisis more to an extent that we now have a forum we are establishing with the World Bank on for desert locust and transplant issues. Thank you. Thank you very much, Abdi. And I would like to really thank all our excellent speakers today. I think it has been very rich and stimulating a change on what is critical today and one that requires our collective and urgent effort. And I will try not to, due to time constraint to summarize in very briefly the key takeaways bearing in mind that we will share with you all the longest version as soon as possible. So first of all, we are seeing clear evidence that hunger and humanitarian needs are on the rise. This is proving increasingly difficult to keep up with these rapidly growing needs. At the same time, shocks to food system and food security are today to a great degree predictable and anticipating food crisis is an obtainable goal, one which we need to collectively pursue. We must commit to scaling up anti-pattern reaction to reach more people, cover more geographic area and apply to a wider range of hazards and context. However, we are still on the learning curve and this came out from many intervention today. This crucial to gain more and more diverse practical experience to scale up anti-pattern programming, build collective evidence and systematically disseminate information. Stepping up anti-pattern reaction for food crisis required boldness and innovation. For this, we need to overcome operational inertias that favor well-established practices and take determined political action. Anti-pattern reaction can play a key role in building resilient aggregate food system. One of the key global goals articulated by the UN Food System Summit as such it is the responsibility of all actors including development and peace actors. We must also strengthen and invest in early warning and food security information system. We need to ensure more predictably, flexibly and ensure availability of funding for anti-pattern reaction. Finally, we must also ensure sustainability of anti-pattern reaction through ownership and capacity building a country and a local level. So these are just a few of the key takeaways. There are more we'll be sharing with you the more detailed version of these takeaways. So now we have reached the end of this event and ladies and gentlemen, I would say it has been a very rich and inspiring event and we thank you very much for taking part and thank you again to all our excellent speakers, the richness of the dialogue illustrates the importance of the dialogue and the importance of the topic of anti-pattern reaction as a key contribution to ending anger and achieving the SDG and SDG2 in particular. With that, I would like to thank you all and wish you a good rest of the day. Bye-bye. Thank you, bye-bye. Thank you Dominique. Thank you Dominique, bye-bye. Down soon. Thank you Dominique. Bye. Thank you Dominique, I'm there. Yep, good one. Thank you Dominique.


Live from Las Vegas, it's theCUBE, covering AWS re-invent 2017 presented by AWS, Intel, and our ecosystem of partners. Hello everyone, welcome to theCUBE here live in Las Vegas for Amazon Web Services, AWS annual conference re-invent 2017. I'm John Furrier, the co-founder of SiliconANGLE Media, co-host of theCUBE. We are here for our fifth year in a row as Amazon Web Services continues to go on a thundering pace of product announcements and massive growth. And we're here with two live sets, we're growing so much, there's so much action. There's two cubes, double barrel shotgun of innovation and data we're sharing with you. Go to SiliconANGLE.com, check out all the stories, all the news, and we're here kicking it off with an analysis, getting ready for tomorrow, the big day. Today's officially the partner day, Sunday night, they had Midnight Madness, their first ever event for Amazon, where they usually kind of the March Madness, kind of copied Cube Madness, if you follow theCUBE, and they do a little preview. I'm here with Justin Warren and Keith Townsend, two great analysts in the community, guys and co-hosts this week at theCUBE. First of all, thanks for co-hosting theCUBE this week and thanks for coming by. It's a pleasure. Nice being here with my 50,000 closest friends. It's so good to have you guys here, one, the hosting, but more importantly, but we've been watching this evolution. Both when Amazon started, I know you both have been involved in the game, in the cloud watching it and participating, but watching just the tipping point, you're starting to see that moment where people calling this the VMworld 2008 moment, where it's like, oh my God, it's kind of gone mainstream, but it's still got a community. Can they keep that alive? Meanwhile, everybody is just getting blown away by Amazon, no matter what is being said. There's clearly the leader in cloud, Microsoft pedaling as fast as they can, cobbling together their legacy cloud to try to keep up, Google a new guard company, looking really good with developers, but not international, not a lot of things there yet, but certainly looking great. And then you got everybody else. Yep. Yeah, is there anybody else really? Yeah, as Dave Vellante would say, what horses are on the track? Yeah, there's lots of smaller players who are calling themselves cloud. They're much more like managed service providers and co-location kind of things. It's not really cloud, the way you would think of it from the AWS kind of perspective, what do you reckon? Yeah, so I've been talking to a lot of Fortune 500s lately and all of their internal customers, when they describe what they want, they're describing AWS, Azure, and Google Compute, and everything else is just not even part of the discussion. Yeah, it needs to look like AWS. That's like the benchmark for this is what it is. This is what it is. The gold standard, the bellwether. All right, let's talk about Amazon, because I was writing a post on Forbes I posted about kind of trying to tell the story in a way that was kind of understood by the mainstream. Still not really truly understood, but they're changing the game. They're just kind of mining their knitting. They're just all steam ahead. Why look in the rearview mirror when you're the top dog? Why do that? But the game is changing. They're constantly introducing new stuff. Serverless is the hot trend that we've been tracking. You're seeing it here. You're seeing real developer-centric, customer-centric announcements. I mean, even during the analysts meeting, I heard rumblings like we can't even keep up with all the news that's so massive. So just a thundering pace of announcements. Where's the innovation? What's Amazon doing now? What do they got to do to distance themselves from the field? That's interesting. I reckon the competitors to Amazon are actually distancing themselves from AWS. They're trying to find their own way of doing things because you can't add AWS, AWS. Yeah, Rackspace learned that a couple of years ago, right? Yeah. Trying to compete head-on, you're going to lose. So we see Google is pushing really, really hard into machine learning and AI-type systems. A lot of people are using them for that big data and genomics-type research. Microsoft is all about Office 365 and the traditional enterprise applications that all of their customers today, they know and love. Yeah, so Microsoft is doing what Microsoft does, which is taking care of their enterprise customers. And I think this is where AWS needs to innovate in. And it's not maybe a technical innovation more than the operating and sales approach to how they treat enterprise customers. Enterprise customers still, I think, are struggling to this date on how to interact with AWS. And AWS is still trying to figure out how do they sell and help manage enterprise accounts. All right, so let's separate IT because obviously two factions are emerging. The CXO, which is traditional IT, which we're all familiar with, and a new kind of developer model is emerging. And I will say it's developer speeds and fees, developer programs, where developers are shaping the agenda. It used to be CXOs have the cash, they drive everything. And now you've got this developer mojo and I can see early signs of a cult here, where all the innovation that's come in the field is from customers saying, screw it. I don't need that big dog telling me to do the old guard, the old CIO up there. I'm just going to go do it, get out of my way, three feet in the cloud of dust, get a prototype up and running. So you guys see that dynamic with this cultural shift. Yeah. What's your thoughts? Cloud is a state of mind. It's a way of operating the business. It's not so much about the infrastructure. It's not so much about the services that live on top of it. It's how you use them. And that way of doing things that the developers like is that they get to pick and choose their favorite tools from what they think is the best solution. And a lot of the time that's been AWS. And then they blend them together and they kind of, they just stitch this system together based on the favorite tools that they have. And that just lives in a completely different level of abstraction than what we've seen before. Yeah, and the speed too. I mean, that's changing the game too, right? I mean, right. Well, you can do that a lot faster than waiting to raise a PO, wait for three months for someone to rack and stack a whole bunch of gear, wait for everything to clear through purchasing and then you get access to the enterprise anointed correct thing. So we saw it the same with Salesforce where people with sales guys would just go with a credit card and just say, yes, I'll have some of that. Thanks. And it is much more than the credit card. You know, VMware with their recloud air service a couple of years had where I can take a credit card, build a data center. My son, a developer in college, I gave him that solution. He looked at it. He was like, what's a load balancer? Why do I need to configure a firewall? I just want to build an application, man. I just want to build, I just want to code. And AWS has figured that out. How to get developers back to what they love to do, which is solving problems via code. And you see it, even before the start of the show, there's a lot of hoodies and shorts at this conference compared to the culture that we see at a lot of other. I find it inspirational. So a couple of key points. So I asked Andy Jassette, an exclusive one on one with him last Monday and I asked him, you know, talking and he made a comment to me and I'll tell you the story here. He says, you know, we have a conversation inside Amazon, this is Andy talking about if we were going to start Amazon all over again, because he tells a story about the scar tissue and all the pain they went through with S3. He says, if we were going to do it all over again, we would use Lambda. And the serverless trend is interesting because now that speaks to your son's objective. Get this, I don't need routers. I don't need load balancers. I don't need gear. Maybe how many CPUs I need? I don't know. What's a patch? You told me, all right, yeah. Linux, what's Linux? So, okay, that's the norm. The driver has to be a new programming methodology, not agile. We're talking about composability at a level where no one says, oh, I need Oracle for that or I need Mongo for that. This is just databases. So a whole new things happening where this choice that used to be the religious war between vendor A or B, serverless could change the game on this. We're just going to end up with a new religious war, I think. It's going to be instead of Vim versus Emacs, it's going to be should I use Amazon Lambda or should I use Google Cloud Functions? It's going to be one of those. Which programming language is the best? Okay, old guard, new guard. This is the term that Jassy uses. I like it because I'm old, so maybe I'm old guard trying to be a new guard. Old guard means legacy. He's really talking about Oracle, IBM, it's some extent Microsoft. So, we'll be putting them in that bucket. So, new guard players clearly Amazon are seeing their new guard, but Google's new guard in cloud. They're not really trying to do anything, legacy, they have legacy infrastructure, but they're approaching a market from a new guard perspective. What's your guys take on old guard, new guard, and do you agree with that statement and what are the old guards guys have to do to be cool with the new school? So, theCUBE has been at almost every major conference this year. Take an example of what some of the old guard is trying to do. NetApp is trying to get into the cloud conversation. Google has none of that legacy concern of needing to sell boxes. You look at a solution like Kubernetes.  They don't need it to sell more boxes. There's a bit of freedom. Great way to move some workloads off Amazon. What'd you think? It's a great way to move workloads out of Amazon. AWS has joined the CNCF because they no longer have a choice in the matter. Kubernetes has won the containers war. So, because of that, these new school competitors can compete in ways that a HPE, a Dell EMC, et cetera, simply can't. Justin, I got to ask you this because I agree with what he's saying. I'll take it one step further. The old guard is trying to slow the game down, move the goalposts as an expression. They got to try to kind of slow this freight train down because otherwise they could be less than it does. And they have leverage. It got customers, they have market power, even Oracle, I would say, is in that category. So they got to kind of slow the game down. But is the scale and the unprecedented amount of announcements, the differentiator, as more services come on, their thesis here at Amazon is, as I release more services faster, more available capability, that's more total addressable markets available. Do you buy those two things, slowing down and services being the advantage? That's interesting. I think it's more of a scattergun approach in a way.  So if we throw enough services out there, throw enough stuff at the wall, we'll just find the ones that work and concentrate on those. As someone who tries to keep up with what Amazon is doing, and this happens with developers as well, when you release 800 new services in a year, name them all. As a human, that's really, really difficult to manage. So I think in some ways it's a little bit like, I have four kids, I can't even name them all. I get them all confused. It's a little bit like Microsoft Word. It's got 800 billion different features, but for any given customer, they only use maybe 10% of them. And yet, all of them are there because different customers use a different 10%. I think that's a little bit what Amazon is going for kind of ubiquitous market coverage of as much market as it can possibly get. It's a lot like its retail strategy. We want to be in everything, where some of the competitors are being a little bit more focused about saying, well, you know what, rather than just being a generic service that covers everything, we're going to focus on particular areas that we think have enough value in that for it to be worth that time. Okay, I want to ask you guys a question about value creation. Entrepreneurial startups, companies that are trying to grow, you're kind of seeing certainly in Silicon Valley where I live, startups are getting pumbled. If they were born before 2012, they're really going, not trying, they try to go big, but they're mostly going home. Barracuda Networks just announced this week that they're going to go private. Okay, private equities scabbling up all these companies that have pretty good sizeable funding. $100 million invested from Andreisa Horowitz, a Greylock, Sequoia, big names folding tent and being acquired, which is code words for we can't go public. And even big public companies that don't have a cloud player kind of retooling. So the question is, are we at a point now where scale and speed of the game is causing some havoc in the marketplace? Well, look no further than what's going on in Europe now. And theCUBE is at HPE re-event. I mean, HPE's discovered in Europe and HPE is a completely different company than it was three years ago as a direct result of what Amazon has done in the cloud space and gobbling up all of these smaller accounts and new opportunity. HPE, you mentioned it earlier, HPE is still HPE. HPE is going to get that interview or session with the CIO, you know, Meg makes the call. She's going to get a, someone's going to pick up to the line. Now, Antonio. You're now Antonio. But AWS has been changing that story impacting and taking the air out. HPE chose an interesting approach to get smaller, to become more agile. Dell chose the opposite route of getting bigger to compete. We'll see which one plays out. In the meantime, $18 billion run rate and no sign of slowing down. So $18 billion run rate with 40% growth on that baseline is pretty significant. I think they might even be doing better than that next quarter, but that speaks to the traction. It's not just startups. Those numbers aren't just startups. Airbnb is a big company now, but they start out small. We use Amazon, a lot of people use Amazon. They're winning big enterprise deals. Why? What do you guys think? What's the reason why? You know what? Go a little bit intuitive here. Look at VMware on AWS. I've been kind of critical of that solution, but it is a easy win. If VMware made the exact same announcement on IBM the year before at VMworld, in the Fortune 500s I talked to, don't consider that cloud. The exact same solution in AWS is cloud. That's the cloud checkbox. AWS has, they do a much better job controlling their brand and Kleenex, but they are the Kleenex. They are the Xerox of cloud. You don't have cloud unless you have AWS from an enterprise perspective. That's what Azure, Google Compute, and all the other cloud providers have to compete against. It's, in my opinion- First of all, those guys are incomplete in their cloud. And that's just on a feature by feature basis. I do agree. It's kind of like outlook or word. I like outlook because it's more bloated than word, but less useful. But my point is, that's the name of the game. Getting functional value creation. So final question for you guys is, as we look at re-invent this week, obviously I looked at the industry day yesterday on the board, a lot of Alexa repeats. So you can see which sessions are repeating. So that's an indicator of popularity. So Alexa's got traction. Serverless with Lambda has traction. What do you guys see as the big so far early show buzz? I've hearing a lot about containers. Containers, and like you say, things like Lambda and Alexa. Anything that has AI machine learning in it, that's very hot at the moment. Whether or not it's just hype and the bubble on that will pop in a few years. I personally think that that is mostly hype and hot air. But it'll settle down and there'll be some real value in there. That's where I'm seeing the noise. So over at the area they have the container kind of show, it's a show within a show. And I'm hearing similarly with containers, but not just containers, see your point, serverless. It was a term that we struggled with a couple of years ago. Now it's generally accepted. You know what, I can just write code and that code can be executed without regard to infrastructure operations that has proved to be insanely popular right now. Okay, final question, I'll start it. We're going to end this on this last segment. I know I want to get one more in. That's the buzz. I want to ask you guys, what tea leaves are you reading? What signals are you looking for? Because remember, Amazon is very scripted up right now. You can see them on message and I'm trying to poke holes in the, and which tea leaves smell on it and put in my ear, ear to the ground. So think about that question. My view is, I'm looking at, is this developer trend a cultural shift and to what extent is that developer traction in terms of mind share and love of the brand of the Kleenex, the cloud, the real cloud and how much will that tip the CXO conversation? Where's that power shift? So to me, I'm trying to read the tea leaves to saying, if this developer tipping point happens at this scale, developers can really be to the driver's seat. Not just, oh, developers are in charge. I'm talking about really making the decisions on all big deployments. That's my tea leaf read. What are you looking at? So I'm talking to a lot of vendors. They're number one reason for being at AWS. And when I say vendors, vendors that we see at traditional infrastructure shows, they're here to talk to new audiences, to that developer audience that you mentioned. And what I want to know from them are more than just interest. Do these developers have money? One of those challenges that all of these cloudy type companies have faced is that they, developers fall in love with them. Docker is a great example. Developers fell in love with Docker. Millions of downloads. However, that doesn't translate to POs and purchases. Do these guys actually have the buying power to see through that initial contact all the way to the field? It was the buying decisions in IT. Exactly. Thoughts? You made the same comment I think earlier about 2008 VM world. It has a very similar vibe to me here. I'm seeing that this is now the crossover between where it was developers, where it was all hoodies and track suits and pink hair. I'm seeing a lot of suits, seeing a lot of money floating around this conference. So I'm starting to think that this is the point where AWS is starting its transition from being the new guard to the old guard. They would love to be IBM. IBM made a lot of money. Yeah, turning it into an old guard is very good financially. It makes you a lot of money. So I'm looking to see where on that transition are we and how long can AWS maintain that momentum of being a new guard company? And if they can hold the line on new guard, they win everything as long as they could. That's the goal. In my opinion. All right, I'm John Furrier here with Justin Warren, Keith Townsend kicking off the first day of three days of wall-to-wall coverage here at AWS re-invent. Stay tuned for more analysis, opinion, commentary. Of course, go to Siliconangle.com for all the exclusive interviews with Andy Jazz and all the top executives of Amazon. We'll be back with more after this short break.


Hi everyone, Sean with jaspyscasebrakes.com here doing 2020 community national treasures football 2 box half case break Random team number 35. We're obviously all card ship and we're looking for crazy stuff like this So 32 spots everyone gets a random team in the NFL all card ship This is the first half of a case that we're starting that will be finished with case Half case break pick your team 36, which is in the store or random team over 36, which is in the store now So here's our list of customers Matthew Shira down to David calendar with last spot mojo and The teams from the Cardinals down to the Washington football team dice for to randomize both lists and pair them up Six and a five eleven times. Good luck everybody 11th final time from Logan Callister down to Scott Blackwell 11 times on the randomizer and 11 times on the teams 11th final time from the Dolphins down to the Steelers so 11 times on the teams 11 times on the customers and 11 times on the dice So there's the full list trade window is open. Let's read through this Logan Callister dolphins David Green Vikings Matthew Shira Broncos Scott Blackwell Giants Paul Norden Texans Matthew Janowski Falcons David calendar chiefs Matt Medlin Saints David calendar bangles Joshua Chipwood Cardinals Sean O'Leary Ravens Scott Blackwell Rams Matthew Shira Chargers Sean O'Leary Bills Matthew Shira Washington football team Andrew Bitton T Browns David Green Seahawks Panthers Sean Maddock Jets Matthew Shira 49ers Scott Blackwell Patriots David Green Bears Buccaneers Sean O'Leary Colts Matthew Shira Packers and Lions Patrick Ketzy Cowboys Sean O'Leary Titans Sean Maddock Jaguars Sean O'Leary Raiders and Eagles Scott Blackwell Steelers to finish it off Trade window is open Let's sort this by team Logan says nice Well, you guys are thinking about possible trades. I'm gonna pop over here pop up in this case. This is a half-case break Fresh case you see national treasures football 2020 this bottom boxes One two three for the box on the left four five six for the boxes on the right So it's gonna be boxes on left these boxes here will be for random team at 36 so 36 right on the front That is available in the store now. So let's get our spots And there's no talks of trades whatsoever. I'm good Aaron. How are you? So let's just go ahead and print and rip I'll pop back over one more time See if anybody is interested now that apparently it's top two boxes I turned out the make cam as well. So you guys can see the cases are right there. So I'll give it 15 more seconds on trades Is it our six is normal then I never know big old freak trade window going once trade window going twice trade window going three times When are you off are you off officially or are you still almost night 11 30? Very nice. I hope you enjoy your weekend Anything big plan for you. Vegas Sunday three days. Very nice. Good luck everybody First up is Mike Evans 24 out of 35 For the Tampa Bay Buccaneers. Don't even have my list out highly unprepared Tampa Bay Buccaneers David Green and you've got Trevor moments Travis Kelsey That is 20 out of 99 for the Kansas City Chiefs David Callender Jerome Betis 36 out of 99 for the Steelers Scott Blackwell and DJ Chark 94 out of 99 For the Jaguars Sean Maddock nice four-color patch for the Chargers Kenan Allen 26 out of 49 Chargers Matthew Shearer It's a booklet and I saw the words one of one. I got excited Nike swoosh treasured patches Dishon Watson in the Texans Paul Norden You go Paul Congrats one of one Very cool. I saw on the bottom of the booklet It's there bottom of the thing it said one of one and there was nothing on the front So I was like well, it's a book Pretty cool. Nice Nike swoosh one of one And Charles Haley 15 out of 49 For the Dallas Cowboys, that is Patrick Ketzy. You've got a crossover RPA three-color patch Zach Moss That is 19 out of 25 Buffalo Bill, Sean O'Leary. I don't know if that's like fuzz on the patch or what but I'm gonna leave it there I don't want to mess with it. How do you take a look at it when you get it? And Jerome Bettis with the football at the end of his signature and the 36 inscription 23 out of 25 single-color relic Steelers and Scott Blackwell, and you got two redemptions one is a blockchain. The other one is a regular redemption first up Blockchain rookie materials signatures rps hollow gold card 14 Jalen Hertz, and that's the blockchain. So that's for the Eagles and Sean O'Leary and The regular redemption Rookie patch autographs red brand logo Nike swoosh, right? So what's a red brand logo numbered out of? Is that a 101 or is that out of five? We're out of two Cardboard connection Okay, rookie patch autograph red brand logo Brand logo red is either out of two or a one-of-one So I'm gonna click over here just so you guys can see what I'm looking at turn on the Nick cam so you can see the card still there RPA brand logo red is either out of two or a one-of-one card 168 Clyde Edwards E. Lair for the Kansas City Chiefs and David Callender with last spot mojo Congrats, man. Either out of two or a one-of-one Congrats I'm guessing brand logo and it's a red so it's team color matching Gotta be a Nike swoosh, right? He's signing He was on he was on card in product in flawless Ben So he's signing. It's just getting the backlog of redemptions caught up for him There is a printing plate down towards the autographs So we'll see it might be a one-of-one auto there Nick Chubb that is five out of ten. Just got a big old pay trek Browns That is Andrew Baton T and Joe Thysman 11 out of 99 for Washington and Matthew Shearer You Got for the Dolphins Lynn Bowden jr. Dual relic Rookie 78 out of 99 for the Dolphins and Logan Callister So that printing plate will be a one-of-one That Clyde Edwards layers a one-of-one that means it's three one-ones from these two boxes You've got for the Packers AJ Dylan dual relic Green Bay Packers Matthew Shearer And there's a triple relic Joe burrow Justin Herbert to a tug-of-a-loa that is two out of 99 So that's obviously gonna be a randomizer bangles David Callender Chargers Matthew Shearer and Dolphins Logan Callister So that will have to randomize between those three teams at the end of the break nice Rookie quarterback relic there and out of 85 three-color patch on top solid color on the bottom Cole Comet For the Bears and David Green Here's our printing plate And it's that Ross Blacklock It is Ross Blacklock one-of-one auto for the Houston Texans Houston Texans getting another one-of-one Paul Norden you go Paul and Three-color patch auto 14 out of 25 T.J. Hawkinson for the Detroit Lions and Matthew Shearer And treasured moments Ben Rothesberger that is 10 out of 10 For the Steelers and Scott Blackwell that was Steelers Cardinals Super Bowl Super Bowl What is that? 43 53 And three-color crossover RPA 26 out of 99 T. Higgins For the bangles and David Callender last spot Bojo Nice patch there David Last thing to do is the randomizer. Yeah, two one-of-ones for the Texans can't be mad about that. Remember, there's that a Brand logo red either out of two or a one-of-one for that Clyde Edwards dealer Did it have any Sometimes it'll say the checklist Rookie patch autograph set checklist Red brand logo is out of two. Yeah, it doesn't just differentiate on there Here is that randomizer. Let's kill her here bangles chargers Dolphins Second half of this case is in the store guys under random team number 36 bangles chargers Dolphins Team on top after five to five ten times 10th and final time goes to the chargers Which is Matthew Shearer? 10 times on the randomizer 10 times on the dice and the chargers are on top Matthew Shearer. Congrats There you go guys. That's the break Last two boxes from that case are in the store random team number 36. Go get your spots We can do it again tonight tomorrow most likely tomorrow and that wraps it up That was 2020 Panini national treasures football two box one half case break pick your sorry random team number 35 From jaspyscasebreaks.com. I'm Sean jaspyscasebreaks.com. Thanks for hanging out. We'll see you next time


The X-47 Bravo is a strike-fighter-sized unmanned aircraft and was designed to help the Navy explore the future of unmanned aircraft aviation through various carrier-based test flight operations. Successful testing of the aircraft will help set the stage for the development of a more permanent carrier-based fleet of unmanned aircraft. The X-47 Bravo can fly farther and stay in the air longer than existing aircraft because it doesn't depend on the endurance of Navy fighter pilots. USS Harry S. Truman recently made history by hosting the first taxi of the unmanned aircraft. Petty Officer MJ Gonzalez has the full story. USS Harry S. Truman Sailors and members of the Navy Unmanned Combat Air System Program Office Integrated Testing taxied an X-47B unmanned combat air system demonstrator on the ship's flight deck December 9th. The test marks the first time the aircraft has ever taxied aboard a carrier. It takes an awful lot to have an unmanned aircraft taxi on a moving ship. It's a very, very complex evolution. It's very, very important for us to demonstrate that and I think we did it today quite well. Northrop Grumman deck operators used an arm-mounted control display unit to maneuver the aircraft under directions from Truman's aircraft directors. To be out here to see the support, the crew's giving, to be working with the Navy, Navair and Northrop Grumman engineers, it's just a whole team effort and it's just been a really good experience. Truman is the first aircraft carrier to host test operations for an unmanned aircraft. Aboard USS Harry S. Truman, I'm Petty Officer MJ Gonzalvo. This is a major milestone for the X-47 Bravo, which is scheduled to complete taxi testing before Truman returns to its home port in Naval Station Norfolk. From Defense Media Activity, I'm Petty Officer Amara Timberlake.


Hello, everyone. Welcome to Options with Doug, streaming live daily on Bookmap Discord and the Bookmap YouTube channel at 1.30 p.m. Eastern Time. And I need to go through the disclosures. General disclosure, all Bookmap limited materials, information, and presentations are for educational purposes only and should not be considered specific investment advice or recommendations. Risk disclosure, trading futures, equities, and options involve substantial risk of loss and is not suitable for all investors. Past performance is not necessarily indicative of future results. As a reminder, the focus of my presentation and the Options with Doug chatroom and Discord is options, order flow, the impact of options markets on stocks and futures, and the influence of market maker hedging flow on price action. I have a two-step process for trading. And the first is planning and I use positional analysis and I look at how traders and market makers are positioned in the options market and how those positions change from day to day to help develop a thesis regarding expected volatility and trading range for the day, as well as a directional bias. And I think position analysis is a new way of looking at the market. Many traders use technical analysis or fundamental analysis. And I think positional analysis, again, is a new way of looking at the market that provides a significant edge. And the second step in my process is execution. And I look at real-time order flow and book map and real-time market maker hedging flow and Spot Yamahiro to confirm my thesis and for setups. And finally, on topic, serious on topic questions and comments are welcome. And please post your questions and comments in the Options with Doug chatroom and Discord and also the chat in YouTube. Okay. And what I want to cover today is, first of all, just go over quickly a couple of news items, economic data, one that happened this morning and then also talk about data coming up for the rest of the week and then we'll go through the position analysis and then finally talk about setups. Okay. So first of all news, this morning Jerome Powell spoke and he was in Sweden, I believe, and these are some comments on financial juice about his speech. Apparently it was a prepared speech and there was no discussion of the state of the U.S. economy or a prognosis for monetary policy. So kind of a nothing burger, although the market did seem to interpret as bullish or maybe was bullish anyway. So that's the anticipated Jerome Powell speech this morning. Again, nothing of substance there. And then for the rest of the week, on Thursday the 12th, there is a big economic release. That's the CPI data at 8.30 a.m. eastern time and that has been a big market mover the past few months. So we'll keep a close eye on that. And then finally on Friday the 13th, consumer sentiment, University of Michigan consumer sentiment comes out at 10 a.m. So again, the big event for the week is the CPI data coming out on Thursday morning. All right, let's go through our position analysis and this is the S&P 500 futures ES and the levels that are in play are shown on this chart. And I also have an SPX chart and we'll take a look at that as well. It's very important to keep track of the SPX levels when you're trading ES in my opinion. I think those levels are significant. So what I'm looking at here, I have two columns of notes in book map and the first here, this is spot gamma cloud notes and these are provided automatically in cloud notes and they are updated daily and they're showing primarily SPX levels and also combo levels that would be a combination of SPX and SPI and this 3900 level again corresponds to SPX converted to an equivalent ES number and right now spot gamma is using a 25 point difference. So they're adding 25 points to SPX to come up with an equivalent ES level and the last time I checked that difference was a little bit less than 25 points and then I have another column of cloud notes. These are my notes and the things that I'm showing here are first SPI levels that are key gamma levels and this is for example the SPI 390 key gamma strike and you can see that it acted as resistance here in the morning and then the other level that has been in play today is the SPI 389 volatility trigger and you can see that was also in play this morning and then there's been also a cluster of volume around that level and that's also the SPX 3900 level. So that's been a significant level today. All right, let's take a look at SPX now and what this is is these are notes from spot gamma as well. It's not as convenient as the cloud notes and book map. You have to update them manually but it seems to work pretty well and this is a 20 day one hour chart and I have talked about this narrow range that SPX was trading in for about three weeks and then finally seems to have broken out of that level. The top end of the range was about 3900 and it appears that SPX may be trying to break out of that range now and these red lines are the spot gamma levels. So we can see at this put wall for example is at 3700 and the call wall and the key gamma strike are up at 4000. So if you have think or swim you may want to try this out. This works pretty well. So this is kind of a bigger view of the playing field. Okay, so while we can see all these levels here let's talk about shifts and levels as well. So the there weren't many the volatility trigger and that is spot gammas proprietary gamma flip level meaning that market makers position below the volatility trigger would be negative gamma. That means that in that situation traders are long puts market makers are short puts and they have to hedge their delta exposure in the direction of price action and above that level market makers would be in a positive gamma position and in that case that means that traders are short calls and this is spot gammas assumption. So market makers are long calls and they have to trade in against price to hedge their delta exposure. So that tends to decrease volatility above the volatility trigger and increase volatility below the volatility trigger. So right now it looks like SPX is trading below that level and the other shifts and levels were the call walls for spy and for QQQ. So the spy call wall jumped from 390 to 410 and the QQQ call wall jumped from 270 to 290 and as a reminder the call wall is the strike with the largest net positive gamma and that can act as resistance. Traders may be selling positions that's just one of the reasons it may act as resistance and it works better for some instruments than others and for example the SPX and spy and QQQ you can expect the call wall to be generally respected a good resistance level. Okay, so that is today. Let's take a look at the S&P 500 charts and I'm going to talk about the absolute gamma levels and this is from spot gamma and this is based on open interest but showing call gamma above the zero line with black lines and put gamma or negative gamma below the zero line and the teal lines. So as I mentioned the put wall is all the way down at 3700 and that strike is not really in play now and there are more levels of negative gamma before that 3700 and those should act as support if price is heading down so there's the 3700 level again and then 4000 is still the absolute or key gamma strike and again that's the strike with the largest absolute gamma and 4000 has been the key gamma strike in SPX for some time and here are the spy levels so 380 that's the put wall and that makes more sense that is that should provide significant support and there's 390 and that is the key gamma strike and there's the call wall up at 410 and that's not really in play either and that may be just based on a technical definition of the greatest net positive gamma. All right, let's take a look some data and as usual I like to look at gamma notional and what this is showing is market makers position on the gamma curve and these levels are both negative this is for SPX and for spy and this indicates that traders are long puts market makers are short puts and as price drops they have to sell futures to hedge their delta exposure and as price increases they can buy back those short futures so again in a negative gamma environment market makers are trading in the direction of price and that tends to increase volatility and these levels shifted a little bit more negative from yesterday so yesterday and I compare morning to morning these numbers are posted both in the morning and the afternoon and I compare morning to morning so yesterday morning SPX gamma notional was minus 55 and it has shifted to minus 182 today and yesterday spy gamma notional was minus 869 and it has shifted to minus 1060 today let's take a look at equity hub first so what I want to show is the this shows the call gamma versus put gamma this is for SPX and put gamma is shown in the blue line and call gamma shown with the yellow line and this shows a slight dominance of put gamma over call gamma pretty much throughout the price range from 3000 on up and it's a little bit more pronounced than spy the dominance of put gamma versus call gamma and then finally let's look at the Vana charts and what this is showing is how market makers delta exposure or delta notional changes with changes in price implied volatility and time and the way I interpret this chart is I just draw a line through the green line that makes sense and I can see the slope is going up from right to left and that means that market makers delta exposure increases as price drops and again they have to sell futures as price drops and they can buy back those futures as price increases and then the green line is just showing how that it changes with changes implied volatility and that's the Vana effect and then the black line shows how market makers delta exposure changes with time and that's shown for the next expiration and that is the charm effect and let's take a look at we can look back in time and see how that has changed for more of a neutral setting yesterday to slightly slightly more tilted to the left today and then here's spy and again remember that the spy gamma notional was larger more negative than SPX so this line is more pronounced and sloping from right to left it's steeper alright so that's the that's what we have today for the positional analysis and really I would say not a lot not a lot to conclude or at least from my point of view for yes no significant changes from yesterday slightly more negative gamma notional okay now let's take a look at some setups are there any questions okay no questions so let's start with some setups and I'm going to I'm just going to go through this list in alphabetical order and I did post my list this list right here this watch list in the morning and it might have been a little bit late for some people let's see what time I posted it around 10 a.m. so sorry a little late it was a busy morning so anyway I ranked it from the strongest hero signal to the weakest and I'm just comparing the list and this looks pretty similar at least for the first few stocks first three four right so yeah it looks like it's the same list so this is what I posted this morning ranked from the strongest signal to the weakest signal and this is there was a question about that this list this morning and you can use it however you want and you know I suggest using it as a starting point if you don't have something that you want to trade already and look at your own charts for potential setups if you want to use this list so we'll go I'm going to go through an alphabetical order so the first is apple so here was the hero signal this morning so I thought it provided good confirmation of short and long setups and the the best setup that I I guess the last two spy and Tesla I'll get to those at the end those were those are probably the best setups today so anyway there's apple and let's go to book map now let's go to apple all right there's a question on YouTube can we determine that today's interday move I would say if you want to interpret the if you're looking at swing trading looking at at the future the spot gamma founders note often includes a bigger macro picture and I don't go over that and this in the in my presentation I'll leave that to spot gamma subscribers I'm focusing on interday trading so my my focus is day trading all right apple so remember that hero was sloping down in the morning first and here's here's a bearish setup and this is maybe a better setup certainly the order flow is more clear the reversal hire look at all the green dots coming in and just above the 128 liquidity level with a target at the 130 key gamma strike and all the liquidity there and there were some other let's say one other potential entry point looking at this range the kind of the final shake out and then a a break above the range any anywhere there or if you didn't if you didn't get this first first setup all right let's go back and look at hero one more time so again somewhat bearish hero let's zoom in on this that a little bit of a lead with a strong jump up and traders were both buying calls and selling puts let's just see if changing the look back period gives us any insight and not really not that early in the morning all right that's apple and the next is AMD and I'm actually going to go through all of these that I have on book map and here I thought AMD provided a provided a nice divergence long notice hero trending up pretty much from the open as prices chopping around and you could have taken probably a couple of longs here one at about 950 and one at about 1050 1045 something like that all right let's go take a look let's see what traders are doing so they're both buying calls and selling puts let's go back to book map and pretty choppy morning session and AMD let's zoom in on this so remember the first setup was about 950 and the reversal there with a target at the 68 liquidity level trend break a reversal lower and another trend break and a reversal higher remember hero was bullish all this time so I'm looking for longs and order flow confirms it see all the green dots here let's go back and look at the full day here and again the target is the 68 liquidity so what what might set ups boiled down to our levels order flow and hedging flow and I'm looking all at all that and making a trading decision and levels are round numbers liquidity levels shown a book map and then spot gamma levels that I'm showing on my charts and of course order flow and book map is just watching the things that Bruce talks about the the bullish bearish volume you know that's shown with the pink dots and the green dots market structure I like to look at trend lines and then the hedging flow of course shown by by hero and I like to trade in the direction that market makers are trading I feel that that's that gives me a like a tailwind you know that I want to be on their side not trading against them right so that's AMD next one is Amazon so we're waiting on that will go back to hero let's go to Amazon so traders worth both buying and selling puts and calls let's just look at the total line here and I think the best set up was probably around 1045 and notice the steady steady climb in hero after that let's go back to book map now so there was actually a short set up this morning let's go back and look at the hero again zoom in a bit so here's the short set up so it starts just a little bit before price starts dropping so a little bit of a lead effect as price was approaching that key gamma strike let's see let's go back see what time that first set up was I think so the first set up at 10 1017 for short set up so there it is right there alright so that's Amazon not really much here with Google meta a better set up much stronger correlation here easier to read alright JEC 1045 is when we by we I are you talking about ES shook out a ton of the buyer sellers and reached the days low right after that would rejection high so we'll we'll look at ES in just a minute and I want to look at spy but we'll look at ES and spy at the same time so this is meta let's go to book map so the key here in Amazon is really the this call wall 90 call wall target and all the liquidity there so that's often the case is liquidity stacked up at the or higher at the gamma levels key gamma levels let's go to meta nice strong uptrend here in meta price target the 133 liquidity let's go back to hero now zoom in on the morning so strong correlation between price action hedging flow in the morning and let's just see if can tell exactly what what traders were doing and initially buying calls and selling puts and it looks like they continue to sell puts up until this 130 131 50 level and that is they started to buy puts price dropped a bit and then they started buying calls again and price moved up looks like pat around the 132 level let's go back to book map so that a nice strong uptrend this is the kind of thing that I like to look for and in YouTube NAD ask hi what charts are you looking at and I'm looking at book map in case you're not familiar with this and I'm looking at futures I've looked at ES futures and now I'm looking at stocks and then we'll go back to futures in a moment so I hope that answers your question the other charts that I'm looking at our spot gamma hero and that is showing hero stands for hedging impact real-time options and that is showing market maker hedging flow in response to traders options trades buying and selling calls and puts and the next is Madonna let's go take a look at hero so strong correlation in the morning mainly with traders buying calls and then his price approach the 190 key gamma strike they started selling those calls and haven't done much with puts so that may provide a little bit more clarity so up until about 1020 that was a good good long let's go back to book map so quick quick move higher at the open again the price target 190 it's not shown here because my C levels are this has this upper edge the expected move and that is obscuring obscuring the 190 strike which is the 190 key gamma strike and I have 192 shown in red let me just check let's see what that see if there's any significance to that 192 level or that may be a mistake something that I didn't clean up so that's just something that I didn't clean up so 190 is the key gamma strike and that's the level that's in play today all right let's go back and look at book map okay so Jay says follow Madonna dead on exactly did exactly as you saw I did cash out early though reach profit target well that's great way to go this was a good good setup this morning traders buying calls and obvious price target at the 190 key gamma strike liquidity I set up let's look at Microsoft let's go back to hero so this is what I was looking at in the morning let's go full screen looking at hero rising up until about 1015 1020 something like that and Jay says felt more conviction with Madonna and traders actions meta I avoided I'm still with a lot of uncertainty and met as a whole and I agree meta can be difficult to trade can be pretty choppy at times and I think when Madonna gets going and traders are buying calls that can be a great long and here's Microsoft and traders were buying calls let's go look at book map I'm going to zoom in just on this first hour of trade so here's the first hour again traders traders are buying calls and prices making its way up to the 231 liquidity so there were a couple of long setups and you could have also I think once this trend line was established here's along and another long this trend break retest of the 230 key gamma strike and then the final move up to the 231 liquidity now looks like it's trying to move higher again now to the 230 key gamma strike liquidity you can look at Netflix nice strong uptrend in Netflix let's go to hero so there's Netflix strong correlation between hedging flow and price action and remember the let me just show this list that I posted those of you on YouTube this is the list that I posted so remember Netflix was excuse me at the top of the list and what this is showing this hero signal is comparing the hero signal the strength with the last 30 days and that's shown by the entire range of this slider and you can see it here see it here in this grayer color so that's the last 30 days so this is showing that the hero signal for Netflix at the time that I took this was the strongest that it has been in the last 30 days and that that's shown by this dot here on the far right of this slider scale and then it's also stronger than it has been in the last five days that's shown by the colored portion within the within the entire range so Netflix at the top of the list and let's just take a look at one other thing and actually it's interesting the key gamma strike for Netflix drop down from the previous day so looking at that doesn't always work so that's why you always confirm your that's why I always confirm my thesis with order flow and hedging flow and both were very bullish in Netflix today it looks like traders are buying calls as a stock trader this is something that you want to look for what this the reason is that as traders buy calls market makers sell the calls and they have to buy stock to hedge their delta exposure and as price continues to increase they have to continue to buy stock to hedge their delta exposure nice setup in Netflix let's take a look at Nvidia it looks like a Netflix has been pretty choppy lately and been a little bit more difficult to read in hero I'm just going to skip that let's go on to QQQ much more of a clear signal here in QQQ much stronger correlation easier to read both long and short and traders have been buying calls all day and it looks like initially they were at least buying puts but now they've stopped and started selling puts alright let's go take a look at book map take a look at QQQ and JEC were on the same page here Nvidia has been difficult to trade quite a bit lately it does trend pretty nicely from time to time but it's it is it can be difficult to trade just like meta so initially in the morning long setup pullbacks to the round number levels 270 the key gamma strike and then on up to the volatility trigger and then price makes a lower high back down to 269 so let's go take a look at hero again so here is the there's the long setup in the morning entries at the pullbacks then the reversal lower so long and short entries based on following order flow and hedging flow let's go back to book map so again here's the let's just zoom in on this draw a trend line it doesn't exactly match up anyway price was making higher highs or at least higher lows not a higher high there but higher lows up until the 272 volatility trigger then a push up to 273 then price moves lower makes a lower high back down to 69 let's go to spy so here's what I saw in the morning let's go look at hero now go to spy and this will be the same for ES we'll look at ES too so I saw heroes sloping down making lower highs and I thought this provided several good short setups so let's focus on that first up until about 1045 back to book map look at spy so this is up until that reversal higher at about 1045 and I thought there were three good short setups here two reversals at the volatility trigger again remember heroes dropping and the volatility trigger 389 level can act as resistance and if you miss this one this was you know good setup you can see the absorption here and price reverses lower and then finally the reversal at the 390 key gamma strike and also remember that was the that was the call wall yesterday and liquidity right above there and notice the all the pink dots coming in at that level so really three good short setups actually for you know you can take this lower high at the 389 volatility trigger and then the long setup let's go back and look at hero now so traders are buying calls and that is a that's a bullish sign and it looks like the delta here for calls is greater than the negative delta for puts so we've got traders buying calls and the reversal and book map see all the green dots coming in and targets at the 389 volatility trigger and the 390 key gamma strike all right so that's spy and yes is just another version of the same thing so here are the short setups again I'm showing all the key gamma levels for spy and my notes column and here are those reversals that I just pointed to and spy and there's the long setup and this was at e s 3900 that's what this red number means that ease e s 3900 so hero provided good signals for and levels so again remember I said I'm looking at levels order flow and hedging flow to make trading decisions during the day right let's take a look at Tesla and then there's a question about what about now and that's a question on YouTube JC ask what about now and what what instrument tell me tell me what you want me to look at right let's take a look at Tesla let's go to hero spy JC wants me to look at spy so let's let's take a quick look at Tesla and then we'll go back to spy here's Tesla look at the total signal and I'm looking at the morning session so death definitely bearish and there is a almost always a very strong correlation between hedging flow and price action with Tesla traders market makers I think hedge options trades in Tesla immediately and I think that leads to the strong correlation and traders were both selling calls and buying puts and let's go take a look at book map now Tesla so there's the session of the morning and order flow is definitely bearish you know look at all of the look at all the pink dots here so this these small red dots that shows a cell sweep at this like one twenty two fifty level then aggressive sellers coming in with their market sell orders driving price down and ultimately to the one fifteen liquidity level so nice short set up in Tesla let's go back to hero now some all the way out and then price stops dropping as hero starts to move higher and traders start start selling puts as price reaches that one fifteen liquidity target level they start selling their puts just out of curiosity let's see so this is showing the next expiration which would be this Friday for Netflix or for stocks in general and that would certainly include Tesla the weekly expiration so the next expiration puts and calls calls are shown in green so traders are buying calls and this this lighter blue line here looks that's like looks like that's the next expiration puts not a lot of additional clarity there right so nice nice bearish set up in Tesla this morning and then we looked at a lot of bullish setups otherwise let's go take a look at spy again and I'm going to change the rolling window period here to shorter shorter time frame like thirty minutes is good enough so right now it looks like traders are traders are buying calls and they've started selling puts so the total hero signal is strong at this point let's go take a look at book map so spy has been trending up since about ten forty five a little bit of a lunchtime consolidation here and then started moving higher around twelve thirty so right now I you know it's up to you so you know it looks looks bullish don't know where it's going we'll take a look at spot yes so approaching another resistance level and that is the this level right here the spx volatility trigger which is spx thirty nine fifteen so I would you know if I wanted to be a buyer here I would look look for a deeper pullback and if you're thinking that that thirty nine fifteen spx thirty nine fifteen volatility trigger is going to act at risk act as resistance I would watch hero and look for options traders to start taking negative delta positions before I made any decision at that level so let's go back and look at at hero one last time so right now hero is bullish and again remember we're on a shorter rolling window so this is just looking at the last thirty minutes of data hero is bullish and if again if you expected that level the volatility level of volatility trigger to act as resistance I would certainly look at traders taking negative delta options positions before taking a short there let's just take a look at VIX so it looks like right now VIX has VIX has leveled off made a low of twenty point eighty two may be heading higher that may be a sign let's actually let's take a look at spx see if that provides any additional clues so spx at a thirty minute rolling window shows us that traders are selling calls and not really doing much with puts so I interpret that as bearish so this may be maybe a signal bearish signal so oh I'm sorry can you hear me now okay sorry about that somehow my microphone got muted so you know I would just keep an eye on this you know two potential resistance levels here at at the spy three ninety key gamma strike or if price makes it up to the volatility trigger the spx volatility volatility trigger and let me take a look at questions and YouTube a lot of questions here a lot of comments and Floyd scratch as selling their puts is covering or put selling you no way of knowing so I covered hero for spy right now and the important levels they're in play now are the spy three ninety key gamma strike and again the spx thirty nine fifteen volatility trigger and the volatility trigger JC ask that is through spot gamma that is a spot gamma proprietary level and Floyd scratch as thirty nine fifteen support no thirty nine fifteen resistance that was noted as resistance in the am founder's note spot gamma am founder's note and it looks like it could potentially be resistance today and sorry about the audio think that's worked out now and ancient the architect ask do you post put wall and call wall in morning no I don't those are all I talk about them in the afternoon but in the morning I'll leave that to spot gamma subscribers who are who are paying for that information so that is you know I don't want to I don't want to give their information in the morning but I can you know I feel okay comfortable talking about it in the afternoon and the effort for the rover says yeah you can you know you can look at the look at the order book look at an options chain I so I you know I I subscribe to spot gamma I get all the information that they provide and these levels are part of the information they provide so I'm way over my time thanks for your questions comments thanks for watching today and I will see you tomorrow thanks fine