How Option Pit's Sebastian Is Playing PayPal

Mark Sebastian from Option Pit discusses the mixed market conditions ahead of the Labor Day weekend, noting the light trading volumes and recent market highs. He highlights the strong performance of the Nasdaq, S&P 500, and Dow in August, while also pointing out the rally in haven assets like bonds and yen. Concerns about volatility and trade issues, particularly involving the US, Canada, China, and Europe, are discussed. The video concludes with insights on PayPal and Venmo's increasing usage.

What is the impact of light trading volumes on major stocks like Apple and Amazon?

• They are unaffected by trading volumes.

• They remain stable with no price changes.

• They are pushed higher by relatively light volume.

• They experience significant price drops.

Which month is the Nasdaq on pace for its best performance since August 2000?

• July

• October

• August

• September

What unusual market behavior is observed with the VIX and S&P 500?

• They are moving in opposite directions.

• They are correlating at the same time.

• They are both decreasing steadily.

• They are unaffected by each other.

What could potentially send the market back to 28 half?

• A significant drop in Apple stock.

• A breakdown in talks between the US and Canada.

• A resolution in trade talks between the US and Canada.

• An increase in trading volumes.

What is the outlook for PayPal according to the discussion?

• Uncertain due to market volatility.

• Bullish due to increased daily use of Venmo.

• Neutral with no significant changes expected.

• Bearish due to declining user base.