Hey, Ross here:
And here’s an actionable trade idea to start the day.
Chart of the Day
Shopify (SHOP) is emerging from a beautiful Stage 2 base.
SHOP is up more than 100% since the start of the year – a clear sign this is a market leader.
Notice how volume is higher on the rallies up and lower when the stock pulls back. This is a subtle clue that buyers are in control and the smart money is building a position.
Last Thursday, SHOP broke out at 2X its average daily volume and the stock closed at the high of the candle. These are both good signs of a legitimate move.
I want to see SHOP stay above the breakout level or, at a minimum, above its 21-day moving average.
Currently, it’s doing both – making it a buyable opportunity.
Breaking: Big ticket investors are rushing into this $3 “AI wonder stock”
Insight of the Day
With $5.5 trillion in cash sitting on the sidelines, the best gains of the year are still to come.
Considering how well the market has done this year so far, you might think that the amount of cash sitting on the sidelines would have dwindled by now as investors jump into stocks.
Well, you’d be wrong – because there is now a record $5.5 trillion in cash parked in money market funds.
Sure, not all of this will flow into stocks.
Some will stay in money markets and others will go toward debt securities.
But as the market rally keeps going, I believe it is inevitable that a significant portion of this will flow into stocks.
It’s just human nature – most cannot resist joining a rally (nor should they).
That’s why I’m even more optimistic for the second half of 2023 than I was in the first half.
Even though my strategies have already captured recent gains like:
I believe the biggest and fastest gains are still to come.
That’s why later today at 12 p.m. Eastern, I’m going LIVE to demonstrate my top strategy for capturing these future gains.
And I’ll see you at 12 p.m. ET sharp.
Don’t miss out any longer.
Editor, Stock Surge Daily