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Right about now, traders are trying to figure out where the money will rotate into next…

Will the big money players jump back into stay at home stocks given the uptick in cases of the deadly virus…

Will they pile into healthcare stocks…

Or just stay on the sidelines.

Listen, there are actually other factors to focus on when it comes to stocks and I want to show you the one I love to exploit every chance I get…

It’s known as the catalyst runup, and I want to show you how it worked with Zoom Communications (ZM) this week.

 

Why Zoom Communications (ZM) Was On My Radar

 

Last week we got vaccine news from Pfizer (PFE)…

This week, Moderna (MRNA) released vaccine news, and while the stock rallied by nearly 10% yesterday… I didn’t touch it.

Luckily, I didn’t because the stock got rocked today and was down more than 5% at one point.

Instead, I focused on buying Zoom (ZM) calls yesterday instead…

You see, Zoom is one of those stocks that has been getting hit a lot lately.

It got rocked after Pfizer announced its positive vaccine news…which put pressure on stay at home stocks.

If you notice, ZM was actually on my radar. Here’s what I mentioned to subscribers.

Zoom Video Communications (ZM)

Catalyst Dates: Earnings November 30 after the market closes

Options: ZM December 4 $410 Calls

 

 

With ZM selling off, I actually had to switch up my trade plan and look for calls closer to where the stock was trading, after the MRNA news dropped the stock a little.

On Monday at 9:42 AM ET, I entered a position.

 

 

Take a look at what happened with ZM all day on Monday…

 

 

By using calls, I was able to leverage my money and gain exposure to ZM, without having to buy shares of the stock.

And by 3:34 PM that day, I was out for a profit of about $9,000.*

 

 

Listen, if you want to utilize the catalyst runup strategy to your advantage…

Then you’ll want to check out this training workshop here.

You’ll discover one of my best trading strategies and how I use it to time trades to near perfection.

 

*Results presented are not typical and may vary from person to person. Please see our full disclaimer here: ragingbull.com/disclaimer

Author: Kyle Dennis

Straight outta college Kyle Dennis taught himself to trade, and then made over $7 million in trading profits by the time he was 28 years old. Kyle reveals how to find, track, and profit from lucrative trades for exceptional profits. Thousands of traders follow him every day to learn how to target these high probability trades.

Everything You Need to Know About Short-Term Stocks

W hen you’re investing in stocks short-term, you sometimes don’t have enough time to do proper research and think things over before making trading decisions. However, if you’re able to understand the nuances of short-term trading and manage your risks wisely, you can significantly increase your profit potential. Let’s look at the basics of investing in short-term stocks.

  • Short-term stocks are stocks that are only held for seconds to a year.
  • The three types of short-term trading include scalping, day trading, and swing trading.
  • You can make short-term trading work for you by finding the right stocks to trade, mitigating risk, and using technical analysis.
  • Some of the best short-term stocks to trade include Disney (DIS), T-Mobile US (TMUS), Humana (HUM), Progressive (PGR), and Procter & Gamble (PG).

What Are Short-Term Stocks?

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Short-term stocks refer to stocks that you decide to hold for a short amount of time, which can range anywhere from just a few seconds to a year. They’re an alternative to the more conservative buy-and-hold stocks, which you can hold for years or decades.

When making short-term stock investments, you should focus mainly on price action instead of the long-term fundamentals of the assets. This type of trading aims to profit from quick changes in market prices, so you need to be able to identify market volatility around important economic data releases, political events, and company earnings.

Short-term trading is also called active trading because it differs greatly from the strategy of investing in passive funds. It’s generally based on speculation, meaning it doesn’t necessarily involve the purchase or sale of the underlying assets themselves. Rather, traders who do short-term trading have a tendency to favor derivative instruments, which enables them to enter or exit trades without having to own any assets. Such instruments include contracts for difference (CFDs), options, and spread bets, all of which provide opportunities to profit from movements in market prices.

Types of Short-Term Trading

Before you start doing stock investment for the short term, you should consider which trading style you want to adopt. Depending on your time constraints and risk-tolerance level, you can choose from one of the three following short-term trading styles.

  • Scalping: Scalping is a form of trading that seeks to profit from small changes in prices by opening positions that last for only seconds or minutes. You have to make small profits as often as possible by exiting a trade immediately after the market moves in your favor. It’s the opposite of the practice of “letting profits run.” If you intend to be a part-time trader, scalping isn’t the right option for you because it’s very time-intensive. As a scalper, you’ll most likely have to rely on high-frequency trading to be able to execute multiple orders in seconds.
  • Day trading: Day trading involves buying and selling stocks within a single trading day, usually for the purpose of avoiding overnight costs. It’s regarded as short-term trading because it aims to take advantage of small price changes through frequent trading within a day. As a day trader, you’re required to make decisions quickly so that you can enter and exit trades efficiently. There can be high levels of volatility in a single trading day, which is necessary for creating an advantageous trading environment. However, this can also result in risks such as slippage.
  • Swing trading: Swing trading focuses on holding positions within larger movements, which can last for days or months. Since it capitalizes on medium-term movements, it’s the longest form of short-term trading. In swing trading, you’ll attempt to identify a trend and take advantage of the increases and decreases within the overall price movement. Typically, you need to perform technical analysis to determine the right entry and exit points for every trade.

How to Profit from Short-Term Investments and Stocks

Short-term investing in stocks is generally more difficult to master because it requires you to be more hands-on and make quicker decisions. Nonetheless, you can improve your chances of increasing your profits if you know the right way to trade short-term investment stocks. Follow these tips to become a successful short-term trader.

Identify the Right Stocks for Short-Term Investment

Recognizing the right stocks to invest in the short term means being able to determine which stocks have good potential and which are best avoided.  Follow the steps below to find good stocks to invest in the short term:

  • Watch the moving averages: Moving averages are the average prices of stocks over specific timeframes. They show whether certain stocks are trending upward or downward. If you want to find a good stock to short, look for one that has a moving average that’s declining or flattening out.
  • Understand overall cycles: In general, markets move in cycles, making it essential to keep an eye on the calendar at certain times. For decades, most stock market gains have taken place from November to April, while the averages have been somewhat static from May to October. You have to know how to use cycles to determine the best times to enter into short or long positions.
  • Base your trades on market trends: If the market trend is positive, you should consider buying more and doing less shorting. On the other hand, if the trend is negative, it’s better to short more and buy less. When the market trend goes against you, the chances of having profitable trades drop.

Control Risk

The ability to minimize risk and maximize return is one of the most important skills for short-term traders. You need to learn how to do buy stops and sell stops to protect yourself against market reversals.

A buy stop is an order to purchase a stock when it reaches a predetermined price. When the price of the stock reaches the specified level, the order automatically becomes an order to buy at the current market price. A sell stop is the opposite; it becomes a sell order when the stock falls to a certain price.

Buy-stop and sell-stop orders are useful tools for limiting your downside. In short-term trading, it’s a general rule to set your buy stop or sell stop within 10% to 15% of the price at which the stock was purchased or the short was initiated. This can help you control your losses so that your gains will be significantly greater than the unavoidable losses you incur.

Use Technical Analysis

Everything that traders know about company earnings, management, and other factors is already accounted for in the price of a stock. If you want to stay ahead of other traders, you have to know how to use technical analysis.

Technical analysis refers to the process of using previous prices and patterns to study and evaluate markets or stocks in an attempt to make accurate predictions. It involves analyzing buy and sell indicators such as the relative strength indicator (RSI) and stochastic oscillator. Patterns in the stock market are also used in technical analysis, such as triangles, head and shoulders, double tops, and double bottoms.

Best Stocks to Invest for the Short Term

When trading short-term stocks, it’s important to buy a variety of stocks across different sectors so that you can diversify your investments and reduce your risk. Below is a list of best short-term stock investments:

  • Disney (DIS): The Walt Disney Company is a global entertainment company that comprises several different segments, including the Direct-to-Consumer and International division, studio entertainment, media networks, and amusement parks and resorts. It’s one of the best companies to invest in the short term because it shows strong growth potential through its earnings per share, direct-to-consumer segment, and the Fox assets it owns.
  • T-Mobile US (TMUS): T-Mobile US has been rapidly gaining market share after restructuring itself as the “un-carrier” in 2003. It managed to address many pain points of the telecommunications industry, such as inflexible device upgrades, expensive international roaming, and overage charges. Experts expect the company to deliver large returns of capital for its investors through share repurchasing because of its significantly expanding margins.
  • Humana (HUM): Based in Louisville, Kentucky, Humana is currently one of the leading health insurance providers in the United States. Experts recommend this company because of its involvement in the rapidly growing Medicare Advantage market and its main business, which is health insurance, is expected to see strong growth in the near future.
  • Progressive (PGR): Progressive offers many different types of insurance, including auto, RV, motorcycle, boat, home, and life. According to stock trading experts, the company is projected to continue experiencing rapid growth because of better-than-expected premiums and margins.
  • Procter & Gamble (PG): Procter & Gamble has been seeing an increase in market shares both in the United States and around the world after its expansion into other business segments. Additionally, it looks to benefit from lower commodity prices, which will result in a drop in material costs.

Investing in short-term stocks is a good option if you want to be actively involved in stock trading. Since it’s generally riskier than long-term trading, it requires you to have the necessary knowledge and discipline to make wise trading decisions. Nevertheless, if you can master short-term trading, you stand a chance of greatly improving your profitability.

Author: Kyle Dennis

Straight outta college Kyle Dennis taught himself to trade, and then made over $7 million in trading profits by the time he was 28 years old. Kyle reveals how to find, track, and profit from lucrative trades for exceptional profits. Thousands of traders follow him every day to learn how to target these high probability trades.

What Are the Best Stocks News Apps?

W ith the amount of movement stock prices can experience in a day, reaction time is crucial to an investor’s success in the market. This makes having a reliable stocks news app a huge asset for those looking to stay on top of the forecast and ongoing events. To help you find the best stocks news app for your investing needs, here is a list of some of the top apps on the market.

Top 10 Stocks News Apps

  • CNBC Breaking Business App
  • Bloomberg
  • Investing.com
  • StockTwits
  • E*Trade
  • MarketWatch
  • Thinkorswim
  • Yahoo Finance
  • Webull
  • Feedly

CNBC Breaking Business News

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Offered for both Apple and Android devices, the CNBC Breaking Business News app provides economic analysis, official advisor options, and 24-hour coverage of global stock markets. In addition, the app also gives users access to top business updates and news on technology, politics, energy, health care, and more, giving users a comprehensive view of stock-specific events and a wide array of factors that could affect the market. Investors also opt into free daily U.S. live-stream previews, a live stream of CNBC TV news, full CNBC episode streaming, and podcasts.

Bloomberg

With up-to-the-minute global trackers on bonds, commodities, and currencies all over the world, Bloomberg is one of the best apps for stock news available. The platform is easy-to-use, and users can even organize the latest market data by specific regions or sectors. With so many options for customization, it’s easier than ever before for users to make smart investment choices. In addition, the app showcases articles from Bloomberg’s award-winning financial journalists, putting information from the industry’s leading experts right at your fingertips.

It’s important to note that investors with diverse portfolios may require more information than the app provides. To make up for this, Bloomberg offers users proprietary portfolio tools, access to various financial media channels through their audio and video services, and a watchlist that enables users to track their investments. Bloomberg is available for both Apple and Android.

Investing.com

With over 100,000 institutions across 70 global markets, Investing.com is a massive source of up-to-date information, making it one of the best stock market news apps out there. Just some of the available information includes:

  • Real-time data on major stocks, such as NFLX, AMZN, and TSLA.
  • All major stock market indices from around the world.
  • Commodity prices including gold, silver, and natural gas.
  • Rates bonds, like Euro BTP, US Yield Bonds, and UK Gilt.

The app contains investment, political, business, and technology news from both Investing and Reuters, and users can customize their alerts for analysis articles, financial instruments, and economic events. Notifications for instruments can also be set by price, percentage change, and volume. Additionally, you can manage your portfolio.

Keep in mind that for the amount of information the app provides, the user interface is comparatively simple. While the free version does have ads, Premium is relatively inexpensive and comes with additional features.

StockTwits

As one of the newer apps among those referenced here, StockTwits really shines in the sophistication of its user interface design. With a setup reminiscent of social media apps like Twitter, StockTwits is extremely accessible, made with younger users in mind and tools to meet the needs of investors at every level. In the app, users can find an up-to-the-second feed of stock prices and an earnings statement calendar. StockTwits also curates a list of investment opportunities specific to the user and provides a chat that allows you to connect with fellow investors.

StockTwits also offers several niche features. Users who use Robinhood are  able to link their accounts for streamlined operation across platforms. Short-term brokers particularly benefit from being able to upload technical analysis posts and videos to assist fellow traders.

The best part? The whole app is free. Be sure to manually update your feed from time to time to ensure you’re getting the most up-to-date information the app has to offer. StockTwits is available on Apple and Android.

E*Trade

Founded in 1982, E*TRADE made the first-ever online order stock trade, and their leading legacy in investment technology continues with their mobile app. An all-in-one offering, the E*TRADE app is a great stock news app that provides up-to-the-minute price quotes on stocks, options, mutual funds, and ETFs. It also presents in-app commission-free buying and selling with no recurring fees or minimum account balance. In addition, users gain access to numerous tools that improve user experience, from voice recognition and educational videos to barcode scanning and research reports.

While available to both Apple and Android users, the Android app also provides breaking news alerts, third-party research, multi-legged options trades, and the option to stream Bloomberg TV.

MarketWatch

Another one of the best apps for stock market news on our radar, MarketWatch grants its users access to breaking news coverage, global market information, and financial data. Investors on MarketWatch can also follow stories based on their stock picks and opt to receive market alerts.

With a daily market analysis and prices that are constantly updated in real time, MarketWatch makes it easy to keep up with the news that’s important to you, no matter where you are. Note that, unlike most of the other apps on this list, MarketWatch is operated by swiping vertically for the latest market updates rather than horizontally. Both Android and Apple offer MarketWatch.

Thinkorswim

Thinkorswim is an award-winning trading platform owned by TD Ameritrade. The app offers its users access to market news in addition to advanced charting and analysis features. Investors looking to grow their investment knowledge can also benefit from the app’s unique paper trading feature, which gives users fake money to test trading strategies, and available chat tool, which puts you in touch with a TD Ameritrade trading specialist right through the app. Thinkorswim gives investors a CNBC live stream in addition to other news features, making it one of the best financial market apps available. Find Thinkorswim on both Apple and Android. TD Ameritrade is also one of the best online trading sites.

Yahoo! Finance

Yahoo! Finance is another great all-in-one stock market news app, meeting the needs of investors of every knowledge and experience level. Alongside viewing business and finance news, users can follow commodities and currencies, record prices of stocks in their portfolio, and trade stocks. Find market synopses and lending rates as well as tools to create your own online portfolio. It’s important to note that with so much to offer its users, the Yahoo! Finance app does use a lot of data and load slightly slower than most. It is available on both Android and Apple platforms.

Webull

You don’t have to use Webull as an investment service in order to benefit from their app. Offered for free on Apple and Android devices, Webull app users get a news feed for finance news from sources such as CNBC, Reuters, Forbes, and Bloomberg. Uses also gain insight into stock prices being updated in real time. In Webull, investors can also manage their portfolio. In the avenue of user interface, Webull offers day and night themes to suit your investing schedule.

Feedly

While not specifically a stock market app, Feedly’s RSS reader capabilities make it an excellent option for investors looking to tune in to stock news. With Feedly, users get the perk of having all of their favorite market and business blogs in one place, without the distractions that other stock market news apps might include. Investors can add up to 100 sources across 3 different feeds, with multiple options for organizing and filtering information. More sources are just $5 a month, and more serious investors can sign up for the pro version and receive access to additional features, like an improved search engine. Feedly is offered on both Apple and Android.

W hether you want to trade in-app, just get your daily market analysis, or follow a every source you can, the variety of available apps for stock market news makes it easier than ever to find a service that meets your specific investment needs. If you already have a preferred news app, but you’re not sure how to sort through all the information, learn which news matters to the market. You can also check out our real-time chart.

Looking to add more investment apps to your arsenal? Check out our top 9 stock apps and top 10 stock-picking apps.

Author: Kyle Dennis

Straight outta college Kyle Dennis taught himself to trade, and then made over $7 million in trading profits by the time he was 28 years old. Kyle reveals how to find, track, and profit from lucrative trades for exceptional profits. Thousands of traders follow him every day to learn how to target these high probability trades.