COVID’s Resurgence May Bring Even More Huge Profit OpportunitiesAs fears over a new strain of the pandemic worsen, look ahead to the incredible profits that could be yours on the horizon.
What’s happening?During the depths of the COVID-19 crisis in 2020, forward-looking investors were already plotting the trades that would hopefully turn huge profits on the stocks that suffered the most from the pandemic.
Airlines, hotels, retailers, entertainment companies, and cruise liners were among some of the hardest hit by the worst health crisis in decades.
But with the development of several viable vaccines and their widespread rollout beginning early this year, many on Wall Street had hoped for a swift recovery for those industries.
While we have seen profitable surges from some of the most beaten down businesses this summer – particularly travel stocks – there is a new threat looming that could put long investors of those stocks in the red once again.
And one type of business looks particularly vulnerable. But that same vulnerability could lead to more huge profit potential down the road.
Where’s the money?After a year of lockdowns, restricted travel, and lack of entertainment options, people around the world were eager to take their first summer vacation since 2019 this year.
And that includes a favorite option of vacationers in years past – cruises. Cruisers have historically been some of the most loyal travelers, and many have already lined up their spots aboard upcoming trips, despite the lingering concerns over catching the COVID-19 virus.
While not all ports have reopened, this summer saw a small revival from a disastrous 2020 for several cruise companies.
Just last week, Norwegian Cruise Line Holdings Ltd. (NCLH) launched its fist ship out of Florida in more than 17 months, marking the third ship to return to sailing for Norwegian.
And ahead of the launch, my scanners picked up on huge buying activity on NCLH options. In fact, I recommended buying one such option to Super Squeeze Profits subscribers last Monday – and two days later, they had the opportunity to close that trade for an average profit of 69.7%.
But it’s not all sunshine and margaritas going forward for cruise lines like Norwegian. Dark clouds are forming over the industry, and investors need to beware.
How do I get some?Amid the rapid spread of the new Delta variant of COVID-19, some on Wall Street are worried that we could see a new selloff of cruise liners and other travel stocks in the coming weeks if the situation becomes much worse.
Norwegian is already trading roughly 1.5% off from Friday’s close, and could fall precipitously if new restrictions are put into place.
Short sellers are also taking an interest in the potential dip on stocks like NCHL, as the short volume has increased nearly 2.3% from last month.
While there may be some rough seas ahead for Norwegian for the next few weeks and months as the delta variant rages, I’m looking ahead to the profit opportunity on the horizon.
An increase in the short float of this stock is going to create more chances for any buying sprees to force short sellers into covering their positions. Cruises and the loyal travelers that embark on them aren’t going away anytime soon, and I believe that the short sellers will ultimately end up holding the bag while long investors score big.
I’m following this situation very closely, and I’ll be providing updates as they come.
But until then, there’s plenty of other short squeeze gains to be had…
A Wealth of Short Squeeze Profits Await YouEvery week, I’ve got my eye on dozens of highly shorted stocks from every sector in the market.
And when my S.C.A.N. system identifies any large buying orders on any one of those names, it’s time Super Squeeze Profits member to make their move for potentially massive profits.
Using my detailed trade instructions, subscribers have the chance to double their money or more, often in a matter of days.
Take our recent trade on Macy’s, Inc. (M) for example.
In mid-July, I advised subscribers to buy Macy’s calls after S.C.A.N. spotted a large number of buyers on a particular option.
And just last week, Super Squeeze Profits members were celebrating a 100% win – the latest of many they’ve had the chance to score this year.
I’m already hard at work planning my next trade recommendation. Want to learn how you can take part in it? Click here to find out more.
In the Spotlight: AMC gets a big new buyerIn its struggle to maintain the levels that this year’s short squeeze has brought on, AMC has desperately been hoping to attract new buyers.
Yesterday, news broke that it had done just that.
On Monday, reports surfaced that the Swiss National Bank had more than quadrupled its stake in AMC Entertainment Holdings, Inc. (AMC) during a recent buying spree.
The report notes that the bank purchased more than 637,00 additional shares of AMC in the second quarter, increasing its total holdings to 832,741 shares.
AMC stock caught a big bid yesterday, rising by more than 6.6% from Friday’s close.
I noted last week that I believe AMC will ultimately continue to slide, but news of big buys like this will likely continue to draw more buyers in and prolong the pain of the institutions that have shorted the stock.