The Post-Election Stock Surge Is Boosting These 2 Sectors
Dear Reader,
We’re in the midst of a massive global economic reset.
It all started back in September… While the markets were treading cautiously before the election, the Federal Reserve took the first steps toward easing its inflation offensive with a huge 50-basis point cut – its first in over four years.
Then, even with inflation cooling less than expected in October, the Fed enacted yet another 25-basis point cut that’s fueling a massive rally in the stock market as I write to you.
I believe these rate cuts marked the moment that everything changed for investors. Let me be clear…
For the first time in over four years, the markets are ready to embrace risk again.
That might seem like a bold claim. But if we take a closer look… We’ll see that the Fed’s moves are causing a ripple effect all over the world.
Soon after the central bank’s super-sized September cut, the People’s Bank of China announced a fiscal stimulus package aimed at rescuing the rising global power from its own deepening economic woes. We’re seeing that same push to slash rates everywhere from continental Europe to Southeast Asia. And it won’t all end there…
With a new U.S. administration poised to cut regulations in everything from transportation to financial services – and exert its own influence on the Fed to enact further rate cuts – Wall Street is looking for the best ways to capitalize on a market fueled by an abundance of fiscal stimulus measures.
I’m happy to say that I’ve been helping my readers collect gains as big as 49%… 84%… and even a whopping 197% trading on all the momentum we’re seeing in the stock market right now.
And I see even more opportunities to capture huge gains from here… Right as all this global stimulus boosts a handful of key sectors in the coming months.
The Top 2 Sectors to Watch
So where can we find these mega-sectors surging on stimulus?
Right now, we need to pay close attention to any assets linked to the most important channels in the global supply chain – especially, precious metals and commodities. Both of these sectors are correlated with the biggest industries that drive the global economy, including everything from automakers to semiconductor manufacturing.
And if we look at how all the top domestic indexes have been performing since the election, the markets are making a strong case for investing in the next wave of supply chain-forward stocks.
Consider where equities are trending as the markets react to the latest Fed rate cut and the election…
The S&P steel sub-industry index – which includes 11 major industry players such as United States Steel Corp. and Steel Dynamics Inc. – jumped as high as 14% over the last two weeks – its biggest surge in more than 14 years!
The Dow Jones and S&P 500 have also each hit record closing highs over the last month, represented by mining stocks and metals like copper, lithium, gold, and silver. All of that momentum in metals has fueled a post-election surge in tech stocks – and even with softening demand in the near-term, the markets haven’t come anywhere closeto bottoming out.
The evidence is clear… And now is the time to put our capital to work.
There’s one mantra I love to share with my readers over and over again – education mitigates risk.
For us, knowing where to look for the best opportunities in the stock market is all about following the beat on volatility. As options traders… whether we’re short or long… we always trade on volatility rather than direction.
And there’s never been a better time to be short on volatility…
If we’re keen on placing our bets in tech, we should pay special attention to any assets that are moving higher with semiconductor companies, automakers, and other hardware stocks in the coming weeks.
Steel stocks like United States Steel Corp. (X), Steel Dynamics, Inc. (STLD), and Cleveland-Cliffs Inc. (CLF) have seen massive gains over the last month… In fact, all three are surging more than 10% since October.
Near-term volatility in the stock market has shaken off some of these gains… But steel stocks have been running higher since the election, with United States Steel Corp. rising back to its October price levels. Any quick moves from here are key to a short-volatility trade setup.
If we’re keen on trading bellwether metals like copper and lithium, we can also execute short-term trades on a whole slew of mining stocks. Now, copper prices have been getting hammered over the last few weeks… But industry players like Freeport-McMoRan Inc. (FCX) and Southern Copper Corporation (SCCO) are showing a lot of resilience as I write to you – and they’re both well outside of their expected move right now.
I’m following even more stocks that represent the best ways to capture gains on all this short-term volatility we’re seeing in these sectors. And I want us all to feel empowered to play on the stock market’s current strength.
All that said, it’s not merely enough to buy these stocks in the right time frame…
Today, I want to clue you into the best way to ensure you can maximize your potential gains on all this momentum driving metals and commodities higher… And it all starts with one of the best-kept secrets in the options market.
What’s Your Next Move?
Right now, a lot of options traders are throwing their capital behind the biggest players in metal miners and commodities stocks.
And the smart money absolutely has the market cornered on quick options plays that yield double- and triple-digit gainers in less than 72 hours… and often in just under 24 – all without holding trades for days or weeks… I don’t want anyone reading this to think they can’t get in while the smart money is riding high.
That’s why I’ve developed one options trading strategy that has the smart money beat.
With all of our positions, we look for the same conditions… We find where the market makers are placing their bets and execute trade setups that allow us to quickly capture gains within just days of entering a trade.
Using this system, I’ve helped my readers close out several trades with gains over 100% — including 245% on Criteo and 177% on Cameco Corp. I’ve also helped my readers benefit from all the volatility leading up to this moment – to the tune of five triple-digit options wins with gains as high as 279% on one of the best volatility indicators out there, the Invesco QQQ Trust.
That’s why I’m hosting a special edition of my Masters in TradingLive on Nov. 26 to go over all of this in more detail…
I want to make sure anyone who’s interested has a chance to gain the knowledge to beat the smart money at its own game. So, this live, free event will clue you in to the strategies I use to find these market-making trades.
You’ll get a clearer picture of how volatility shapes the options market, and you’ll gain the depth of understanding necessary to execute creative trades based on all the market criteria I’ve outlined above.
This is a rare opportunity to learn about a whole approach to options that is driving millions of dollars in trading volume as I write to you. There’s no reason you should miss out on this market phenomenon.
Click here now to sign up for my live trading event next Tuesday.
Remember that the creative trader wins,
Sincerely, |