How AlphaShark's Keene Is Playing Melco Resorts

The video features Andrew, CEO of Alpha Shark Trading, discussing the casino market, particularly focusing on Macau casinos like Melco. He highlights the impact of geopolitical risks on stock prices and explains his investment strategy using a call spread. Despite a UBS downgrade, Andrew remains optimistic about Melco due to strong institutional interest and positive revenue forecasts.

What was one of the main reasons Andrew was interested in Melco's stock?

• Recent merger announcement

• Geopolitical risks affecting Macau

• High dividend yield

• Strong Macau numbers

What does a relative strength index (RSI) below 30 typically indicate?

• The stock is overbought

• The stock is highly volatile

• The stock is at fair value

• The stock is oversold

In the call spread strategy discussed, what is the potential return if MLC moves from 20 to 22?

• Double the investment

• Three times the capital

• No return

• Four times the capital

What action did UBS take regarding Melco's stock?

• Recommended selling

• Maintained as hold

• Downgraded to neutral

• Upgraded to buy

What is one reason Andrew remains optimistic about Melco despite geopolitical concerns?

• High institutional buying of upside calls

• Decreasing revenues

• Negative earnings reports

• Lack of competition