There is A LOT happening.
I’m holding a trading live stream today for all of my Challenge students.
But I wanted to jot down some of the most important points in this blog to make sure we’re all on the same page. I was bombarded with questions yesterday.
There ARE profit opportunities in the stock market every single day. Those who don’t pay attention are sure to miss out. For example …
Yesterday we watched CytomX Therapeutics Inc. (NASDAQ: CTMX) spike 250%.
All of my students were alerted at 9:02 A.M. Eastern, before the market opened for regular trading hours.
You can see the alert on the intraday chart below:
>> This is where traders can find the next Breaking News alert <<
CTMX is still in play … But that doesn’t mean we can buy at random.
A lot of my students have questions about this runner … And it’s not the only stock on the move.
On Tuesday we learned that the U.S. Government was reportedly moving to reclassify marijuana from a Schedule 1 drug to Schedule 3. As a result, weed stocks popped off!
But these are volatile penny stocks. Traders need to approach these opportunities carefully.
I tried to answer all your questions below:
Question #1: “Should I buy CTMX?”
Let’s go over this runner.
See the notes in my Tweet below:
It’s possible that the stock continues to squeeze.
Share prices consolidated into the close. That’s a hint we could see a breakout in the future. But don’t bet the bank on it. This company is a piece of crap.
To keep my account safe, I play the volatility using the 7-Step Framework.*
Question #2: “What happened to the weed stocks?”
The weed sector is still hot.
But again, we can’t buy these stocks at random.
See my Tweet below:
New traders see a stock spiking in the market and they’re greed usually pushes them into a bad position.
Fear and greed rule the market. If you give in to those emotions, you’ll end up on the wrong side of this momentum.
90% of traders fail because they don’t know how to turn off their emotions. Like the overaggressive short sellers that create these massive squeezes.
And that leads me to the third question I was asked:
Question #3: “Why do you hate on short sellers?”
I’ve been in the industry for over two decades.
And I used to be a short seller. I switched my strategy because the short selling strategy became overcrowded. We started to see crap stocks spike hundreds and thousands of percentages because short sellers kept trying to guess the top.
I don’t hate short sellers … A lot of my scorn comes from trying to persuade them to see the light. They’re stubbornly shorting a giant squeeze and blowing up their accounts when they could buy the momentum instead.
But I’m one voice in a market full of degenerates. Most of my criticism falls on deaf ears.
See my Tweet below:
As a trader, continue to push forward in this market.
But make sure you’re operating with the correct information.
Every week there are new profit opportunities, like the 250% spike on CTMX.
Bide your time and wait for the perfect setup.
Cheers.
*Stock trading is inherently risky.
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