Hey, Ross here:
And let’s start the day with an actionable trade idea you can take advantage of immediately.
Chart of the Day
CAVA is a hot new restaurant chain with 263 locations across 22 states. The company plans to open 44 more this year.
The company went public in May and, so far, has shown a lot of strength.
The stock was offered at $22 in its IPO, and it hit double that number in its first trading day.
The bull case is that this could be the next Chipotle. I haven’t eaten at one so I can’t weigh in on the quality, but I would call that overly optimistic.
But I’m not looking for a stock I can hold for a decade – just something capable of delivering a quick gain.
Last Friday, I said that one way to play this would be buying a break above $54 to see if the stock surges when it hits new high ground.
Yesterday, the stock broke above the $54 mark to close at above $57. That’s the entry signal.
Breaking: Big ticket investors are rushing into this $3 “AI wonder stock”
Insight of the Day
It’s normal to be intimidated by the market’s strength. But you should learn to see it as an opportunity instead.
Stocks ended July strong, with the S&P 500 up 3.1% and the Nasdaq up 4.1% (its fifth consecutive winning month).
And this was despite the Fed raising interest rates again while leaving the possibility of further hikes wide open.
When the market is this strong, many traders get intimidated.
They hesitate, worrying that this level of strength cannot be sustained – that the market could fall at any time and catch them flat-footed.
Such feelings are perfectly normal.
But the truth is, this level of market strength is an opportunity – one the best traders in history have always capitalized on.
And right now, I’m going LIVE to show you how the unique formula these traders used to do it…
A formula that could have delivered one fast market-crushing win after another this year.
And get ready to capitalize on this market’s strength.
Embrace the surge,
Editor, Stock Surge Daily