Hey, Ross here:
Markets may be down, but that doesn’t mean there aren’t any opportunities to take advantage of. Here’s your trading idea for the day.
Chart of the Day
Nuclear fuel company (LEU) has been making lower lows and lower highs since September.
The stock fell 40% off its highs over the last 3 months and is now holding below its 200-day moving average – a crucial line in the sand for any stock.
You can see a support shelf forming in the stock near $33. If this fails, I will consider selling this stock short for a continuation lower.
Insight of the Day
Recession fear is the new inflation fear – learn to use it.
For most of 2022, inflation fears continually dragged the market downwards. Now, as we close out the year, recession fears look to be the theme of 2023.
Investors expecting a fast recovery – for the Fed to step in and save them – will surely be disappointed. The Bank of Japan just surprised the market by tightening policy, indicating that the rate hike cycle across the world is far from over.
The good news is that, as traders, we have the capability to profit no matter which direction the market is moving (just look at the trade idea I just showed you). We can take advantage of the “mood of the masses”.
And what better group is there at taking advantage of the masses than the politicians? Few know this, but thanks to their connections, many politicians have actually amassed a trading track record that beats even Buffett.
Embrace the surge,
Editor, Stock Surge Daily