On Monday, I pointed out how there’s risk-off sentiment due to all the catalysts on the table.
Here’s what the market greeted traders with this morning…
A sea of red — and with all this uncertainty, who knows what’ll happen. Just take a look at some of the catalysts right now:
The upcoming election
Cases of the deadly virus are on the rise and some experts expect an exponential spread
Lack of a new stimulus deal
Earnings season — Microsoft (MSFT) dropped as traders weren’t upbeat on its slowdown in search ad revenue.
With major companies such as Facebook (FB) and Alphabet (GOOGL) reporting tomorrow, they could drag tech lower if they disappoint.
Right now, traders will either look to get on defense, stay on the sidelines, or short stocks.
I’m not going to do any of that.
You see, the last time the market tanked, I unlocked a “hidden” bull market — and I expect that to happen again very soon.
I want to show you my plans to attack this market and how to uncover these opportunities.
I want you to take a look at the heat map from Finviz below.
For the most part, stocks were getting smoked across the board. However, if you look closely, you’ll notice pockets of green.
Just like in the real estate market, location is of the utmost importance. If you can identify where stocks are starting to take off, then I believe it’s possible to position yourself to uncover money-making opportunities. Click here if you want to learn how to locate them.
I know what you’re probably wondering, “Where do you see opportunities right now, Kyle?”
Well, one catalyst on the table is the uptick in coronavirus cases, so naturally, I want to look at stocks in the race for a cure or a treatment for potential plays..
Some “coronavirus names” on my radar include: CODX, MRNA, OPK, FLDM, SRNE.
Not only are coronavirus names on my radar, but biotech stocks, in general, might not necessarily be dragged down by the overall market.
You see, they typically move based on their own catalysts.
For example, Inovio (INO) is on my radar. Here’s the plan I sent out on Monday.
Catalyst Dates: Submitting info to FDA this month, hear back in 30 days to proceed with trial
Buy Zone: $10.00 to $11.00
Profit Zone: $13.00 or higher
Stop Zone: $9.50 or below
Options: INO December 18 $14.00 Calls
There’s an upcoming catalysts in INO, and I think it can runup into that catalyst (no matter what the overall market does).
That’s just one of the stocks that were on my watchlist on Monday.
Listen, there are plenty of opportunities out there, and I want to show you how to unlock a “hidden” bull market.
Timing and location are everything in wild markets. Learn how to utilize catalyst trading to your advantage.
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There will be plenty of fireworks in the coming weeks, and if you’re not focused on trading catalysts right now — then listen up.
Stocks got smoked today, and there’s risk-off sentiment right now.
Just take a look at the heatmap of the S&P 500 from the afternoon session.
No doubt about it, there’s uncertainty in the market, and traders are getting whipped around. I mean just take a look at some of the catalysts on the table:
Listen, I made a large chunk of my 2020 trading profits during one of the worst markets earlier this year… and this selloff actually means opportunity in my eyes.
You see, I’m focused on catalysts in specific names and I want to show you how to identify these opportunities.
That said, let’s take a look at what I think will work in this environment, regardless of whether the selloff continues or if the market recovers.
When it comes to the markets, you probably already know that timing is everything. Of course, it’s easy to get caught up in the noise and listen to what the talking heads are saying. For me personally, I try to silence that and only focus on my bread-and-butter — trading off catalysts.
Why do I love this trading style?
Well, if I focus on specific stocks with catalysts and develop a trade plan, it helps me remove some of the emotions associated with trading and time my trades to near perfection.
It’s what’s worked for me this year, and I was able to generate more than $4M in trading profits in 2020 so far.*
Let me show you what I mean by that.
Last week, I sent out my catalyst watchlist, and inside there were plenty of stocks with specific events. One of those names was Wayfair (W).
Here’s what I sent out…
Catalyst Dates: Furniture Retailer, earnings November 3 before market opens
Buy Zone: $284.00 to $290
Profit Zone: $300 or higher
Stop Zone: $280.00 or below
Options: W October 30 $300 Calls
When I trade catalysts, I want to take advantage of the runup into the event.
Last week, W actually took a hit and sold off. However, the catalyst was the earnings event, and based on my detailed analysis, it was still in play. Not only that, but there were signs the stock could catch a bounce.
So I actually switched up my plan to take that into account, and here’s what I sent out to subscribers on Friday at 3:43 PM ET.
I bought 10 of the W October 30 $262.50 Calls for 9.10. I’ll keep about a 50% stop here on these calls. Earnings in November and setup for a bounce.
On Monday morning, W did what I expected…*
Here’s what I sent out at 9:43 AM ET.
I used that pop to lock in my 50% win and moved on to uncover the next catalyst plays.*
Listen, in this market environment, it’s important to learn different ways to make money… ones that won’t necessarily rely on where the market goes.
That’s why I want to invite you to this special catalyst training workshop, so you can learn how to identify catalysts and take advantage of them.
Catalyst trading has worked for me all year, and it’s one of my most reliable strategies.
No doubt about it, there are plenty of catalysts on the table right now. Here are just some of the catalysts I’ve seen that can potentially move the markets:
For many traders, they get shook and scared by all this uncertainty — and many might look to lighten up into these catalysts… and that makes a lot of sense.
However, what happens when these catalysts become “long-term”… or what if you uncover a stock with a “long-term” catalyst on the table?
For me personally, I actually utilize a strategy to take advantage of “long-term” catalysts with minimal time. In other words, I identify a potential event that can cause a stock to explode higher in a few months.
I know what you’re wondering… Kyle, how exactly does that strategy work?
Allow me to show you…
When it comes to “long-term” catalysts, what I’m looking for is a factor that can move a stock. For example, one of my hottest catalyst plays of the year was in Opko Health (OPK). Here’s what I sent out about OPK to Sniper Report subscribers back in June.
There were multiple catalysts on the table for the company. At the time, it received a $100M contract for its testing. Not only that, but if you think about it… people need to get tested in order to stop the spread of the deadly virus.
Not only that, but the CEO and Chairman Phillip Frost continued to buy shares frequently at the time. For me, those were catalysts that would take some time to develop.
Just a few weeks later, the stock started to take off.
However, with these plays, I’m not really looking for a quick pop. With Sniper Report, it’s more of a buy-and-hold strategy for me. On July 20, I actually locked in a 90% return in just about six weeks on half of my position.*
The following month, on Aug. 20, I locked in OPK for about 100%.
Of course, there are plenty of catalyst trading opportunities out there that don’t require me to do a whole lot of work after I get in. If you want to discover how I’m able to “set it and forget it” and take advantage of all of the catalyst trading opportunities out there… then you’ll have to join Sniper Report at this exclusive pricing.