We all know how dreadful it can be to get through airport security.
Clear Secure is trying to be the remedy by using biometric data to provide identity verification and expedite security at airports and other venues.
Last quarter, the stock rallied over 20% following its earnings report and has nearly doubled since.
Despite the stock's strong performance and highest price since 2021, the bears are still betting against it. The amount of shares held short is near its highest level in history.
During the gold rush of the 1800's, there were fortunes made by some who were digging for and discovering gold.
But the REAL money was made by the entrepreneurs who were selling the pics and shovels to those gold speculators.
Along this similar train of thought, there are more than just semiconductor manufacturers that are going to benefit from the massive amount of investment done in the Artificial Intelligence space.
Today's trade is a year-long bet in one area that is starting to get attention by the AI players.
In this scan, we look to identify the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega cap status (over $200B).
Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.
But the scan doesn't just end there.
We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.
Earnings season used to be a time I didn't necessarily look forward to as a swing trader.
On the one hand, I've always viewed it as great for bringing volatility and movement to the markets -- which traders thrive on for making money.
On the other hand, I was always uneasy about holding open swing trades overnight into a binary earnings reaction.
I learned this unease in my early trading years when I traded stocks for the very simple reason that my good-til-canceled stop loss order was meaningless in the event of an overnight gap through my stop loss level. I didn't have as much control as I'd like. In fact, in these situations, I had none.
It's taken me some years to warm up to the fact that I don't necessarily need this same mindset when trading defined risk options positions and spreads.
Yes, I can still lose money if a stock gaps through my risk management level (the level I predetermined at which I would close my losing position). But if my risk was defined -- meaning I know the maximum I can lose, and no more -- then an earnings gap in my face will only result in a loss that is more or less like any other loss I take.
On today's Flow Show, Steve Strazza and I discussed the two different markets we are each experiencing. He's experiencing one of great breakouts and follow-through. I'm experiencing one of frustration.
Same stock market, different results. That is information. We get into it.
This bull market appears to be on the verge of another leg higher and it might be led by the financials. We both liked the idea of finding alpha down the cap scale in smaller regional banks to participate.
Welcome back to Under the Hood, where we'll cover all the action for the two weeks ended October 11, 2024. This report is published bi-weekly, in rotation with The Minor Leaguers.
What we do here is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.
We use a variety of sources to generate the list of most popular names.
