Profit Pregame

How You Can Avoid the Same Costly Mistakes the Reddit Crowd is Making…

The Reddit revolution is hitting a few speedbumps in trying to create the next lucrative short squeeze.

What’s happening?

For the last two weeks, I’ve been telling anyone that would listen that the easy money in GameStop Corp. (GME) was over.

And just as I predicted, GME started falling from its lofty heights – nosediving from nearly $400 per share to settle around the $50 mark for the last two days.

The drop was all but a foregone conclusion. Hordes of retail investors, sitting on a mountain of profits, were bound to take their money and run on a wildly overvalued stock.

It shouldn’t have come as any surprise that GME would sell off. Even though entire threads on Reddit were dedicated to encouraging traders not to sell, not having a centralized message guiding the trading ultimately led to many selling GME while others were left holding the bag.

And there’s reason to believe that problem may get worse for the Reddit crowd…

Where’s the money?

After reports starting coming out on the massive spike – and subsequent profits – that retail investors were creating by putting the squeeze on hedge funds, a wave of new traders have been trying to get in on the action.

As it gained media attention, WallStreetBets – the Reddit group widely credited with organizing the short squeeze on GME – gained more than 6 million new subscribers over the past month.

The influx of new voices has led to a rash of disagreements over the direction of the group’s strategy and confusion over what is solid investment advice and what is mere guesswork (or even trolling).

While the new problems have caused some to lose faith in the short squeeze phenomenon, I believe the trend is just getting started.

Here’s why…

How do I get some?

As I predicted, the boom of GME was a proof of concept to see if enough traders buy the same thing, they could drive the price higher. The answer was yes, and the stock skyrocketed.

Now, those traders took their profits and it’s time to move on to the next trade. I think they will be targeting more short squeeze names.

Whether or not they’ll be successful in forming a united front to re-create the kind of success they had in GME and AMC is still in question.

Traders jumping in on the trend have to be wondering if following the online forums will be enough to find the kind of success they’re looking for.

Fortunately, I’ve come up with a way around the problems that Reddit investors are facing…

A Better Way to Trade Short Squeezes

Right now, I have a list of 150 stocks I’m watching. These are the best short squeeze candidates in the market.

And when my S.C.A.N. system helps me identify unusually high options activity on a stock with 20% short interest or more, that’s my queue to alert subscribers of Super Squeeze Profits to jump in for potentially explosive gains.

Best of all, there’s no scrolling through endless forum posts that often contradict one another, trying to determine what the next big move will be. Detailed trade instructions with the exact play to make are sent right to your inbox if you want to act.

Are you ready for a shot to start making money on the strategy that’s revolutionizing the way everyday investors are trading? Click here to learn everything you need to know about Super Squeeze Profits.

In the Spotlight:

Cannabis stocks are booming this week after the release of the latest earnings report from Canopy Growth corp. (CGC), the world’s largest cannabis company.

The main reason for the sharp uptick the forward guidance CGC gave. The company estimated that it could achieve profitability as early as 2022, a vast improvement from previous projections.

Given the improving public opinion on cannabis and the probability of changing legislation allowing for greater sales, 2021 could be the year we finally see a major comeback for weed stocks.

I’ve got my eye on a number of great trade prospects, and when the time is right, I’ll be sending out some of my favorite recommendations. Stay tuned…

Community Tips

0 Comments
Inline Feedbacks
View all comments