Charlie explains EXACTLY what is currently moving the stock market and how you can use it this knowledge and current events to grow your account.
🚀Join ZT Circle (*Free) ➤ https://www.facebook.com/groups/ziptrader
📈Join ZipTraderU (*$50off coupon "stayhome2020") ➤ http://ziptraderu.com
✅Webull "Get 2 Free Stocks!" ➤ https://bit.ly/2F6rz62
📌We recommend two trading platforms, ThinkorSwim & Webull. Both are free platforms with commission free trading.
📌New to the stock market and #trading? We break everything down in a short sweet and simplified way. If you have any questions, go ahead and comment below and we'll answer them!
📌ZipTrader also places an emphasis on day-trading PennyStocks, Biotech Stocks, and Pharmaceutical Stocks.
DISCLAIMER: All of ZipTrader, our trades, strategies, and news coverage are based on our opinions alone and are only for entertainment purposes. You should not take any of this information as guidance for buying or selling any type of investment or security. I am not a financial advisor and anything that I say on this YouTube channel should not be seen as financial advice. I am only sharing my biased opinion based off of speculation and personal experience. An individual trader's results may not be typical and may vary from person to person. It is important to keep in mind that there are risks associated with investing in the stock market and that one can lose all of their investment. Thus, trades should not be based on the opinions of others but by your own research and due diligence.
AFFILIATE DISCLOSURE: I only recommend products and services I truly believe in and use myself. Some of the links on this webpage are affiliate links, meaning, at no additional cost to you, I may earn a commission if you click through and make a purchase and/or subscribe. Commissions earned will be used towards growing and maintaining ZipTrader communities.
Extended Keywords: "ZipTrader" "Zip Trader" "Zip Trade" " #ziptrader"
🚀Join ZT Circle (*Free) ➤ https://www.facebook.com/groups/ziptrader
📈Join ZipTraderU (*$50off coupon "stayhome2020") ➤ http://ziptraderu.com
✅Webull "Get 2 Free Stocks!" ➤ https://bit.ly/2F6rz62
📌We recommend two trading platforms, ThinkorSwim & Webull. Both are free platforms with commission free trading.
📌New to the stock market and #trading? We break everything down in a short sweet and simplified way. If you have any questions, go ahead and comment below and we'll answer them!
📌ZipTrader also places an emphasis on day-trading PennyStocks, Biotech Stocks, and Pharmaceutical Stocks.
DISCLAIMER: All of ZipTrader, our trades, strategies, and news coverage are based on our opinions alone and are only for entertainment purposes. You should not take any of this information as guidance for buying or selling any type of investment or security. I am not a financial advisor and anything that I say on this YouTube channel should not be seen as financial advice. I am only sharing my biased opinion based off of speculation and personal experience. An individual trader's results may not be typical and may vary from person to person. It is important to keep in mind that there are risks associated with investing in the stock market and that one can lose all of their investment. Thus, trades should not be based on the opinions of others but by your own research and due diligence.
AFFILIATE DISCLOSURE: I only recommend products and services I truly believe in and use myself. Some of the links on this webpage are affiliate links, meaning, at no additional cost to you, I may earn a commission if you click through and make a purchase and/or subscribe. Commissions earned will be used towards growing and maintaining ZipTrader communities.
Extended Keywords: "ZipTrader" "Zip Trader" "Zip Trade" " #ziptrader"
The Dow rallies more than 300 points before selling off towards market closed oil surges. 20% consumer debt hits a new record at fourteen point three trillion. The US government pledges to borrow a record three trillion dollars to find off this crisis and states start reopening. In this video, we're going to be talking about what actually is moving this market and how you can make money off it, because as you know, following current events such as the sell-off in oil and then the subsequent uptaken oil has been quite profitable.
Moves like Yuko went up about 30 percent over the last few days as oil rebounded and moves like ESCO went up rapidly when oil was doing poorly. But as traders of course we can also take advantage of movements in the overall market such as with Spxl and SP Xu and SP Excel has run up quite massively as the market has had its rally since opening low Monday morning. And while these moves have been great quite great for traders, there's really just one move that could be even better. and that's the move of going and hitting that ravishing like button.
Make sure to do that if you haven't already. Waha Okay, but to start, what? What Charlie is moving the market? Well, let's go ahead and start with treatments and vaccines. So the economic storm that we find ourselves in at the moment is because of this pesky bear bug. So it's no surprise that the biggest catalyst drivers in the market right now are the progress of vaccines and treatments to annihilate it.
We're coming for you. Barbara The Beer bug. so watch out. But the market has been pretty reactive to news events regarding main treatments and vaccines.
We saw this with Gilead treatment success back in late April Each piece of early news drove Gilead up massively. but more importantly, it fueled the market as a whole. But then when bad news comes out such as they leaked saying that this drug doesn't work in the first place, the market gets extreme downward pressure and then it's reversed. When the opposite happens and this happens over and over again because while the drugs and treatments and vaccines hey, they're all speculative.
And while I am using Gilead as a prominent example to talk about the fluctuations, the truth is that there are many, many, many companies that are working on treatments or vaccines and as we more of both good and bad news, we are going to see more pushes in both directions. But the fact that these can be dropped at any moment is fantastic. Oh why? Because that means we could trade off insane price action. And in terms of individual stocks.
Oh oh, the opportunities in individual stocks folks For example, he knew mRNA and even regular caps J and J and re GN have all seen massive growth due to their vaccine candidates. And by the way, these are all ones on our Coronavirus Hyper Watchlist that we post every night in Zip Trader Circle. But it is important to note that the effect of treatment and vaccines on the market is very speculative since we don't know whether it'll even work long term. So the goal is to actually trade these reactions, not to long term invest in them because at the end of the day folks, we don't know which is going to win right? And betting which is going to win is like betting on individual horses in a horse race. It's just it's not really a trading strategy, so the way to handle these is simply to play the heighth. And when I say trade, The highpoint I mean is you're matching the hype of a news catalyst with actual trading tools. Ok, the second factor driving the market today is the ending of lock Downs as articles abound on States and other countries slowly reopening businesses and attempting to revive our shuttered economy. This serves as a huge catalyst forward investors to start feeling like we are going back to business because again, the stock market can go up as much as it once.
But at the end of the day, if there's no revenue coming in, is this really sustainable? or is this just la-la land? It's probably just Lala land. Let's see here is the catch with us. while the pro of reopening businesses and reopening states is great because it's bringing more revenue back into people's hands and into businesses and creating more circulation of the money flow. But if reopening leads to more outbreaks, that's a huge problem because that's going to signal more lockdowns coming and more reduced economic activity.
If free opening brings us a fresh slur of new outbreaks and then result in future closures, well, this is going to have the opposite effect down the line. So Quality Open E may be a positive catalyst. Now it can turn into a negative catalyst fairly quickly as new cases pop up. and that's why it's important to be aware that you need to be looking at both sides of the move you play.
The upside: you play the downside. and you're not Direction dependent Because we, as traders, we don't know what direction things are going Okay, Number three, and perhaps one of the biggest factors in terms of why our stock market is doing so well right now is the Fed and the power of the Fed. Now, so far, during this crisis, the Fed has taken an extremely powerful approach to holding the market relatively stable. But in order to do this, it's lowered interest rates, it's injected trillions of dollars into the market, and it's infused loans across the board.
In other words, it's taken unprecedented recive actions to stem the market from well flailing, and these actions have led to what many are calling a softened blow to the economy. As they hold, and fair enough, we have recovered more of half the drop from the original panic. That's pretty impressive considering nothing really changed. In fact, if you just back three years, it looks like we're pretending we're back in 2019.
But at the same time, eventually the Fed will run out of tools and we'll have to step back because it's strength will be limited. That's because if they push it too far, their strength will be eventually limited by inflation. But to understand this, you need to understand that since recessions mean less spending and less money in circulation, that usually leads to deflation. which is of course, the opposite of inflation. And this is likely what we're already going towards since we are in a period where we have record saving growth of most Americans. But if the Fed prints too much money and there's too many dollars chasing too few services, inflation will eventually kick up. And if it kicks up, the Fed will have to be less aggressive with its policies. and to mitigate runaway inflation, they'd have to do the reverse of what they're doing now just to raise interest rates and slow the introduction of more dollars into the economy.
But folks, deflation is also quite a big problem because because too few dollars chasing too many services would be a disaster as well. So it's basically a balancing act to somehow manage to be just aggressive enough to keep our market afloat while also not being too aggressive can't have too much aggressiveness or too little aggressiveness. Okay, next is unemployment reports. So as we go through the crisis, unemployment has soared to record levels.
But as we weather through this storm and it is a storm, folks unemployment numbers will inevitably go up and down, and positive and negative news will continue to correlate with insane volatility in the overall market. So keeping up to date with unemployment reports is really important to understand the current under workings of the market and how the market is actually flowing, because these tend to have pretty big reactions in the overall market. Ok, next sector specific news: it's undoubtable. The tech as a whole has been a huge reason that the stock market has been so solid.
Companies like Amazon Apple, Facebook and Google are some of the biggest weighted players in the S&P 500, yet were some of the least affected by this crisis. Many are even projecting that they'll be the biggest beneficiaries in the long term, but being reliant on one sector means weakness in that sector can cause investors to be squirmish. But on the flip side, returning strengths in other sectors such as the airline sector or the tourism sector can bring back more fuel into the stock market, which can then go and drive it forward. so there's tons of catalysts that we need to be watching in both directions.
Ok, so the next one is Earnings reports. Now, as we go through this crisis time and time again, we're finding that companies that analysts think are going to do bad tend to do better and companies that analysts think are going to do well tend to do worse. Yeah, shocking that the analysts are wrong, but this difference in expectation gives us ton of volatility to trade off of Tesla, Facebook and Microsoft all beat earnings expectations and thus provided insane running up opportunities. But folks just keeping up to date with these opportunities means that you can then go and trade them when they have clean running and in order to keep up to date with these. my suggestion is to get a earnings calendar. The one that I use is Weibo link below. But the way that I use Weeble to find the earnings calendar is by going to Explorer tab, going to calendar and then choosing the date I want to see company earnings on? You could also pull up the dividend calendar as well, but this is a great opportunity to both track and trade all of these different earnings catalysts. But anyways, Wiebel is a free app.
It's also a broker, so if you do sign up with our link below, you will get a free stock and then another free stock if you decide to deposit. But you don't have to deposit anything to get the the earnings calendar, so might as well check it out. Ok, and lastly, oil. Now there's no doubt that the oil crisis saga starting back in March and chasing the oil down to record lows and negative values just a few weeks ago is something that has been a huge catalyst for the market as a whole.
But the truth is, as we reopen stated, as we reopen the world, we are inevitably going to start to see the demand for oil increasing. but the increase in oil will come and go as lock downs and outbreaks come and go. So the way to play oil is, of course, to arm yourself with an inverse pair. For oil you Co you see plays off the upper movements and oil and ESCO plays off the downward movements in oil.
These are great for playing intraday movement, but make sure you aren't holding these as they do decay over time. If you want to invest long-term in oil, this isn't the way to do it. But at the end of the day, folks, the one thing that I will always remind you is that we as traders, we don't know exactly where the markets going to be a month from now. six months from now, we don't even know where it's going to be tomorrow.
So the goal isn't so much to predict what's going to happen, but rather to pick certain opportunities that are guaranteed to provide fluctuation and then trade both sides of those opportunities. That's why we present all of these in this video. something like an earnings play. for example, The reason that we like earnings places because earnings will come out and it'll either react positively or negatively, but because every reaction is an overreaction, you can just play both sides of it.
So even if you don't catch the beatdown, you could say okay, well I'm gonna go ahead and I'm gonna buy the overreaction laws and then I'm gonna ride the subsequent correction. That's a big focus on Zip Trader, but in any case, the point is. the moral of the story, if you will, is to be Direction independent and to follow the current events, focus on understanding what it is that's happening in the market and focus on what's moving the market so that you can then go and move your account upwards by trading successfully. Also I have to keep proving people wrong. Everyone always says that I take fake sips of water. So every video now what I'm doing is I'm making sure that people know these aren't fake sips of water. See, there's less water now than there was when I drank it. You know that? How do you I mean unless I'm like a mad scientist, how do you make that happen I can't explain that.
Okay, but anyways, folks, if you have any questions whatsoever, feel free to reach out to us in the comment section below and or reach out to us on Zip Trader Circle. On Zip Trader Circle we post nightly watch lists every night by the nature of being nightly and so you can join us there if you're having a hard time finding. best opportunities. Aside from that, if you are looking to learn how to trade, we are still offering $50 off the trade.
Are you for folks who type in stay Home 20 20 at checkout and I'll put the link below if you'd like to determine whether or not we are a good fit. But anyways, folks have a good day and I'll see you in the next video. But just so you know, these aren't fake sips of water haha What's water.
Educating and entertaining. But why? But why Charlie are taking fake sips of water? Awesome channel man!
thanks Zip trader, I made money on INO this morning!
Love your channel. Although most of it is still Greek to me – this far; I appreciate it being on point and honest.
Charlie, could you do an analysis on AML? Aston Martin continues to fall while others in it’s sector rise….
Thanks
“Buy over sold, and sell over bought” seen this from a previous video but still confused on that point
Excellent channel Charlie, been watching many of your videos and they are so informative. I been learning a lot and been smashing them ravishing like buttons!! Was wondering if you can make a video on how you get in and out of trades. Like do you use hot keys for entry or active trader or right click on the chart to buy? I basically would like a detailed video on an execution of a trade. Do you have one of those in your courses? Also on the fence about buying a course. Thank you. Keep the videos coming!!
Thanks Charlie
Nothing moving it’s saturday
Is it still possible to use ThinkOrSwim's onDemand feature? I can't find it on the top right hand corner anymore. I tried restarting it
Charlie……..the Israeli Institute for Biological Research has made a breakthrough…..if Dyadic International DYAI is part of the mass production in the US, get ready for a possible massive spike……keep an eye on it
you should do a live day trading
ZipTrader doesn't have any videos explaining momentum? Dude seriously…
First video of yours I found and you got a sub and a like! Keep em coming please
hearing rumors that Warren buffet said Walmart is spreading the virus. Can this be a short opportunity?
Any screener settings recommendations for thinkorswim? I’m having a hard time picking stocks and such so makes it hard to come up with a watchlist /:
Kudos for the Video! Apologies for chiming in, I am interested in your thoughts. Have you thought about – Rozardner Broker Teaching Reality (search on google)? It is a good one off product for turning one thousand into two thousand five hundred dollars in a day without the hard work. Ive heard some unbelievable things about it and my close friend Aubrey at last got astronomical results with it.
OUCH, that hurt CHARLAY!
Charlie, do you short stocks?
Does IV increase the farther a share is away from fair value ?