Today we are going to be talking about the two stocks that I will be watching this week that have extreme potential. This was a huge request in the zip credit circle Facebook group so I thought I'd share my thoughts. Also, a lot of people have been asking about what my favorite broker is to use as well as what is the easiest to start with if you're a new trader. Well, my favorite mobile broker right now is Weeble.

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They have so many different fundamental analysis tools that allow you to track your trades and find different IPOs And they're also a fairly new platform that consistently adds new features all the time. And if you sign up with our link, you get a free stock. and to take advantage of this promotion I Encourage you to use our referral link because that also allows us to earn a commission and improve our relationship with the broker. And honestly, it's a win-win because I'm going to be continuing to use this broker and it's going to be implemented more in my videos in the future and again.

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Also, feel free to comment below and let us know what you're trading this week. Okay, so I just want to remind everyone to always have a plan when executing into and out of a position. We talked about this often, but every time I make watchlist videos I get comments from frustrated people who are upset because the stocks went up or down really quickly but then didn't maintain that value. But this should not be a surprise to us as traders because our goal as traders is to profit off over reactions and undervalued plays.

We don't care about the long-term value because we aren't holding these positions for the long term anyway. So one of the biggest tickers that I'm going to be watching this week and one of the biggest ones that is making headlines in our community is a DM A. As we know they will have their FDA approval date on April 2nd, this is for their drug for immune deficiency diseases. Now we know that overall this two is that once drugs make it to the FDA approval stage, there is a 80% chance of it being passed.

That's just the rate at which they tend to be passed. It's not historical data released by the FDA I talk about this more in my Top Penny Stocks video. I'll link to that in the description. but but we also know that regardless of whether or not the announcement is positive, we can still trade it as we saw with LX Rx and are Eph, both of which failed their FDA announcements.

people overreact in one way or they overreact in the other way. That offers us a win-win scenario. and that's why we need to approach these positions with a complete open mind. But anyways, to start, we do know that there's an 80 percent rate of being approved, so that's one thing in a TMA's favor.

But of course, I'm in the business of analyzing price action and looking for fundamental cues. So if we look at the price action, we see this running up in anticipation of the announcement on Tuesday also a 15% or so increase on Friday. So the key here is that the general consensus right now is expecting an approval. But the important thing to note is that at this point folks don't really know if it's going to be approved or not.

This is mostly speculation. company insiders have a better idea, but you know there's still surprises that can happen. But anyways, last time this happened, last time they had an FDA announcement of some sort. The price trended down before it and then got beat down like a rabid dog after it.

Of course that announcement was negative and this was back in December. So I think the big deal with this stock is that investors know there is so much upward potential. even just hectic, upward potential is quite high. and we've also seen the massive impact that news from the FDA has on the share price.

So as Gabriel from our Facebook circle pulled up, this is a company that just received a large in faith loan in February, has heavy insider buying, has heavy institutional buying, and is also expanding their business by hiring employees. So here's a company that is operating at a net loss, but is also very confident and its ability to succeed. So confident actually, that they're able to convince institutional investors that hold more than half the company as well as banks offering them loans that they're going to be a very successful company, that these investments and these loans are going to be very lucrative for these institutions. So this is a huge fundamental slide in the right direction.

So in summary, the fundamental and technical aspect this company would lead us to believe that there is indeed going to be an FDA approval on Tuesday. However, we have seen this sort of thing before with LX RX l XR x showed similar signs but then got disapproved. So that's why it's very important that we build ourselves a margin of error. Just because all the signs and the insiders are pointed in the right direction doesn't mean that we're going to have an FDA approval.

There's always that chance that we could be wrong. The FDA can make a decision against them for any given reason, and in fact, FDA actually has a history of doing that with this particular company, as we know. So with this in mind, there are two ways that we can approach this. The first is to buy in before the announcement and the second is to buy in after the announcement.

Both of these options offers opportunities to profit and the answer to how you approach it is based on your risk tolerance level. But either way, buying in after the announcement can offer us opportunities regardless of whether it is positive or negative. If the announcement is negative such as we saw with LX Rx, then we can buy at the extreme discount since the market overreacts to everything. And again, Ori pH was another example of this.

They had a disaster with the FDA and folks overreacted. Of course, they killed the price and then a few days later it went up 40% So the beauty with these FDA approvals is that they tend to be win-win as long as they bring with them volatility. And the key to playing these successfully regardless of the approval, is to build as much of a margin of error as you can. That means keeping things as much in your favour as possible.

You can do this by buying into price traits such as focusing on finding a position where we have a decent amount of room between the SMA line and the price action. or if we want to be a little earlier, then this is my favorite strategy is buying in after we see that confirmation over the SMA line. Trading is so often about building a margin of error for yourself so that if you screw up, you have time to correct it because we all screw up. If you'd like to know more about the exact time to buy a stock, the exact point I have a video in the description that will cover that.

But basically it's buying in at that conformation which is the first candlestick above the SMA line. Okay, so the next stock is EVOC evey. Okay, so EVOC will have their FDA approval decision on April 1st. They were having issues earlier this month and they were working out the details with the FDA when this when this news came out, the share price be down folks overreacted and assume that any trouble, any trouble whatsoever must have meant a guaranteed failure and that the founders would be left begging outside 7-eleven in no time whatsoever.

But the FDA communicating with EVOC is not necessarily a bad sign. If it was not a workable issue, then they would have just denied them. Nonetheless, it's awesome that this happened because now we have the opportunity to buy in at a price point as if the drug had already failed. now, it might still fail.

But hear me out, if we are approaching this play, we can keep in mind that the price has already adjusted as though the approval had failed. Which means that we have a heck of a lot more upward potential and spiked ability if the FDA approval is indeed a pass. and if the drug isn't passed, there isn't as much downward potential because the price already got hit by a truck. But in any case, others are already picking up on this and we saw the price rise in the last trading session.

So these are two of my biggest that I'm going to be watching this week. but I'd like to talk about one more stock that I won't be trading. but I recommended on my top penny stocks video. Something change with it.

So I want to give my updated opinion? So Ad Excess is presenting their phase one data in two different treatment segments both today and tomorrow. This is so early in the FDA approval process, but when I recommended watching it in my top Penny stocks video, I knew that there are so little downward potential. so that's something like these events. Passing could have a huge effect, but that is sadly no longer the case as Ad Excess has had a reverse share split Now companies don't really have the motivation to increase their share price unless unless they feel that it is going to continue dropping.

So here we have a company that feels that their shares are going to continue dropping now, has a lot of downward potential and the upcoming events honestly aren't even that big of a deal since since they're so early in the phase process. So in conclusion, I won't be playing Ad Excess this week. I will be sitting on the sidelines, but if you'd like to see how everyone else is playing it, you can join Zip Trader Circle or Our Discord Chat and sort of follow along. But anyways, this is going to be a very interesting week.

Make sure to have a plan, make sure to have a plan before you enter into any position. Don't just hold and hope a lot of people will buy in here, the stock will go here and then they'll sell out back here. and that was kind of a waste of time. So make sure to have an entry plan and an exit.

and I think I've made a decent amount of tutorials on how to figure out what level you should buy in at and what level you should sell out at. and you know different things that you should look out for. And also if you'd like to know how to find my trading tutorials, you just go to the Zip Trader main page. You go down to trading tutorials, let it load, and then you have a list of all of our training tutorials.

I Tried to set it up in a way that it kind of goes like oh, you start from the beginning, that's how to use the platform and then we go over the indicators. We talked about these top patterns, when to buy the exact the exact point and we keep working our way up. I Tried to design it in a way that you know if you don't nothing off the stock market, it could still be very valuable to get you started. And we also have our main video which is the day trading for beginners which I think is a really great starting point.

So for those of you who you know, watch this video and have no idea what I'm talking about, this is this is really this is a really great way to introduce yourself into all of the different terminology and all of the different concepts that we go over and it's honestly you know you just. You start from the bottom and you sort of work your way up until you know exactly what you're doing. and I tried to design this playlist in a way to help you out with that. but we also have the Facebook circle and we also have a discord chat so if you have any question if you're confused, you can join those groups.

Everything is completely free So I highly recommend taking advantage of all the resources that we have available to you. So anyways, have a great day folks and I'll see you in the next video.