Okay folks, so we've got a lot of violence to cover today. Number one, I want to give you an update on the market and plays number two. I want to talk about something specific that is going parabolic right now and I want to give you my predictions on where it's going next and whether you should buy it. And lastly, number three, I want to give you an update on Amc Ooga Booga and the only thing that I ask in return is that you hit that ravishing like button And also don't forget to subscribe either.

Okay, so let's go ahead and start. Very, very green bounce day. You had all the major indices green as far as the eyes can see. Dao S P.

Nasdaq leading Arc up three percent. You saw Autonomous player Go Ev aka Canoe pick up today. It's always fascinating how inefficient the market trades. When I was in college, they made us memorize this idea of the efficient market hypothesis that talked about how the market is so efficient because everybody has access to all the same data at the same time and nobody has an edge over the other person.

So the market just trades based on the true value of the company, so you can't get an edge on the market by doing any extra work or any less work. It's just whatever the market averages. and there's no shortage of examples of the inefficiency of the market, but this is one of my favorites. A five-day sell-off obliterated in a single day.

and the real reason for this is the S word short interest. Go Ev is one of the biggest short attacks right now, which has helped not only accelerate its downtrend, but also today helped to celebrate its uptrend margin is quite the double-edged sword, isn't it in terms of violent updates. This morning, we were talking about Cara. It was announced that her Fda action date was today and we were waiting for a reaction and it did run massively into the after hours as the company confirmed that they got approved.

What was funny though is that it started picking up before the announcement even came out. Wonder if someone knew something? Hmm. But anyways, considering this drug was one of the farthest along in Kara Therapeutics pipeline, it made sense that it was going to have this big of a reaction because this is a huge win for the company, especially considering how much Cara had dropped back in April on news that this very same drug but the oral version of it was showing slightly disappointing data. So today was a great development for Carrot Therapeutics and a great play.

Okay, Grnq, This was a previous small cap multirunner. This has been seeing some hype inflows on plans to develop a satellite network. The small cap nature of this combined with the high amount of publicity that it got on this news piece made it very, very likely for it to run. So I said looking for solid directional strength at Open Crater Talk makes us sound very, very smart, But it's actually a pretty simple concept.

If something's above our red directional Sma line, we see that as in an upward direction. If it's below it, we see it as in a downward direction. At the time, in this situation, Gr and Q had broken down below our red directional Sma line, which indicates downward direction. so I was looking for another run similar to the pre-market run.

and thus I needed an upward direction back above that red directional Sma line. Otherwise, you could just be holding it through a massive massive downtrend. And lo and behold, this bad boy broke into an upward direction shortly after market opened and rallied back to 113.. one more example, Because people often throw to the side chart analysis these days, you look at something like Axsm, which is another Fda approval play that I'm tracking.

Once it broke below that same red directional Sma line, it tanked. Yet people say, hey, don't use simple moving averages. why don't you just try a yolo strategy. Just buy it and hope for the best.

No folks, there's a reason that they say the trend is your friend. If you're using a simple moving average, you can avoid stocks. They're in a deep downtrend. and you can avoid stocks that have uncertain direction that are just kind of bouncing off back and forth up and down.

And you could focus on trading stocks that are actually showing that upward trend. I'm still tracking Xsm, but the strength for it didn't come back until later in the day, which is when, guess what? It broke again steadily above the red directional Sma line. Oh, but Charlie, if you wait for that Red directional awesome a line, you may have to pay an extra three cents a share. And that might mean that.

I can't brag on Reddit that I got the full entire move and then I'm a little magical garden gnome. Well, that's true, you got me there. But jokes aside, every morning there are about a million different news events happening in the market. The first step is narrowing them down, finding the ones that are the most impactful, and then planning out what you're going to do and what you're going to look for on those.

Now, of course I do that at Zip Trader You, and it's one of the things that Ziptrader U is notorious for. But you can also do it on your own, and I really mean that you need to be putting the work in, you need to be prepping, and there's no excuse for why you can't An extra hour in your morning before the market even opens isn't going to kill you if you have some other time conflicts. Well, you can work around that as well. But anyways, moving on.

what has been going Parabolic is Cardano. Cardano is up about 133 in the last month, breaking out from its previous peak in May. It has quickly become the third largest cryptocurrency by market cap, sitting at 93 billion, being second only to Ethereum and Bitcoin. But what the hell is Cardano Charlie? Well, earlier this year we talked about how it's basically a war on this idea that cryptos have no real world value instead of having to rely on a slow and an efficient central issuing authority bureaucrat.

What if your educational certificates, your health record, and all that stuff, we're just following you everywhere you go on the blockchain using Cardano, for example. I lost my passport when I moved to this house last summer, and in order to get a new one, I have to go and appear in person and certify that I lost my passport. The closest appointment that made sense based on my time schedule was about three months away and I make that appointment. And then once I go there and I certify that I lost it, then I have to go and apply for a new one.

That process takes about five weeks and goes through a bunch of paper pushers and then comes out the other end. And maybe by December, I'll be lucky to have my passport. But if one day, instead of having an archaic physical passport that you have to take with you everywhere, you just had a passport that was on the blockchain, we could do the same thing with driver's licenses, diplomas, health certificates. The Central Issuing Authority would still issue it to you, it would just be on the blockchain and then once it expired, you'd go back to the central issuing authority.

But at least you'd hold that certificate for the time period until it expires. Wherever you go, it's with you. If you lose all your stuff, you can go to a computer and you can contact the blockchain and get that information. Certainly, lots and lots of applications.

So this is basically in a nutshell: the key with Cardona. and there's two big reasons that right now it's going parabolic. Number one is the crypto market as a whole has been seen inflows and a rising tide is of course lifting all boats. Number two: Cardano is about to be listed on the Japanese Cryptocurrency Exchange, which is taking place on the 25th and should result in more inflows and thus people are buying it to pre-anticipatory run towards that number three.

It's about to officially introduce its next evolution of smart contracts via an update called Alonso, of which the Ethiopian government is giving it proof of concept by allowing it to start to build a national Id blockchain system. This should be going live around September and will be the first deployment of Cardona blockchain-based Ids for 5 million students across 3 500 schools. Some 750 000 teachers will also get access to the system. The kicker here is that if this works well well, the goal is to get this to every Ethiopian citizen, which is about 110 million people and would cause a massive boom for Cardona.

Right now, there's no pressure on western countries to have smart contracts and they're probably not going to have it for a while. But when it comes to I'll say economically disadvantaged countries that don't have a stable financial system or a stable identification system, This can totally ward out corruption. Okay, so should you buy Cardona right now? Well, my thought process is, this is the worst time ever by definition to buy Cardano because it's more expensive than ever. But it's also ironically the time where the retail trader is more likely than ever to buy it because ooh, look shiny, it's going up.

My take is, do yourself a favor and identify whether this is going to be a conviction trade or a momentum trade. Both are fine, right? Choose the one that you think makes the most sense. But if it's a conviction trade, this is the worst time to buy it because it's the most expensive right now. So if you're only having conviction now because you're seeing that it's going up, what does that really mean? Well, it means that you don't have any conviction in it because if you did, you would have bought it when it was trading at half the price a month or two ago.

You can't get your conviction based on what the asset price is doing in the moment, because then when it starts plummeting, you're going to be like, oh, I don't have any conviction anymore, I'm not going to buy the dip, I'm gonna start panicking, and then I'm gonna lose all my money by buying high and selling low. So my take is that if this is a conviction play of yours, hey, wait for the next dip. Be patient. Now, if you're gonna play this as a momentum trade, basically, you're gonna get in and you're gonna get out.

Well, that's a whole other story. You could certainly play the Momentum and set a stop loss or a price point as your risk management protocol, But the key is be clear with your intention when it comes to playing off the price strength. Hey great. But you're not just holding it and hoping when it's tanking.

But if you're playing it as a conviction play, then hey, fine. You can hold it when it's taken, but you have to first make sure that you're getting in at a decent price and a decent price is one that's after a euphoria stage has died off. But let's talk price predictions. I think that there's going to be a lot more inflow cycles heading into September and heading into this update, as well as the Ethiopia deal and as the entire crypto market cascades into higher and higher prices, I think that that rising tide is continuing.

So I think, hey, if you want to play off the movement, great, take some controlled risk, play the momentum. Get in, get out, get in, get out. And then when it dips strongly, why not buy the dip as a conviction play. Okay, Lastly, I want to go ahead and finish off with Okabooga.

Amc. Amc had a very, very solid day today, going up over 10 percent at highs. It's actually crazy when you consider just how clearly back and forth this has been. You have a few days of huge selling pressure, then a huge day of huge buying pressure, then a repeat of that cycle again and again.

This is a pretty damn clear fight between buyers and sellers. and we love it. And as always, the financial media continues to miss the mark when covering Amc stock. Amc stock shoots up after Fda approval.

A vaccine? Really? Do you think it shot up because of that? It literally shot up three times in the last 10 trading days, just as much, if not more. And yet you didn't report on that. and now you pin it on this approval? I don't think so. It's this weird obsession that the media has that Amc trades on the fundamentals.

No, this is an active battleground, so call it like it is. That being said, I don't want to cover Amc unless I have something specifically new to talk about, because I can't just sit here every day and say the same thing. But I do have something for you today. it just came out that Citadel is going to redeem 500 million dollars from Melvin Capital.

This was money they put into Melvin after they got killed by their short bets on Gamestop and other meme stocks earlier this year. and as part of the agreement to help save Melvin, Citadel was given a share of Melvin's management fees and performance fees for three years. and even though they are taking 500 million out, Citadel will retain those privileges. And it's funny, a lot of people don't realize that Melvin was actually one of the most respected and highest performing hedge funds before this whole debacle happened and despite some good calls and attempts to recover, it's still down like 43.

But I think that the bigger picture here is what Citadel pulling out really symbolizes. It symbolizes a system where the players with the most money get to bail out and call the shots in. smaller players take what they need and then leave further reinforcing their power. As a result, the lack of sincere competition at the top of this industry allows a ton of extra added influence to flow to the biggest players, like for example, Citadel, and the results are very, very clear.

Their retail brokerage relationships allow them to be the number one market maker for retail trading orders. Their influence allows them to have extremely impressive partnerships in government. Even our sitting Treasury Secretary has made more money from Citadel than she's made from her government job. It really goes to show you that the structure is such that the players with the most money have the most influence, and you see that in pretty much the entire game.

Another player is Goldman Sachs. Think about how many parties they have in every level of government, almost in the entire industry. The regulatory parties that regulate the industry came from the tops of that industry. Now you could say but charlie, they should have experience in the industry to know how to regulate it.

Okay, fine, and I'm not saying they're all bad guys. but at what point does it become too much? At what point is it clear that hey, big, large institutional banks and investment funds are the ones that are overly represented in every level of government, Where retail traders and even smaller hedge funds don't have that kind of representation? At a certain point, the system sets it up, and I'm not saying it is like that right now, but it sets it up so that it can be fairly predatory, where these massive, massive players can bully some of the smaller players into submission very easily. I'm not saying it's like that now. I would never insinuate something like that.

Personally, I think that there should be more power and we should all serve under one hedge fund. but I'm just saying if somebody thought maybe there should be more diversity in terms of the power structure, then, well, you know maybe you could come to that conclusion. Anyways, folks that caps off this video. If you have any questions, feel free to reach out to us below or join us on Ziptrader Snorkel if you'd like to learn how to trade.

With our step-by-step lessons, our private chat, and of course our daily morning briefings, where are we brief on all the latest news catalysts each and every market open morning? Well, I'll go ahead and put the link to Zip Trader. You Fudstopper50 will get you 50 off. Go ahead and check out the intro video if you're interested in what we offer in the program and a full breakdown to see if it's a good fit for you, I'll put the link below. And lastly, if you're wondering what broker to trade these stocks on, we always like to send new traders over to Weeble and they will give you two free stocks if you just deposit five dollars or more using our link below.

So anyways, have a good one and I'll see you in the next video.