As of October 10, the market looks as if it could imminently make new year lows, suggesting no end to the bear market is yet in sight. But that’s okay!
In micro-caps we’re still seeing multi-day runners, such as: $PEGY, $FNGR and $TOPS creating trading opportunities.
That being said, now more than ever, it’s important to adhere to processes and rules. Check out the below video to see Alex Temiz’ approach to successfully trade in this bear market.
Watch: Strategies Revealed: How To Profit During The Bear Market of 2022 | feat. Alex Temiz (MIC)
$PEGY ignites.
(ZeroPro: 10/10/22)
$PEGY’s flame has undoubtedly caught fire in the early stages of October. InvestorPlace has reported that: “there haven’t been many concrete catalysts investors can point to, to justify a move like this.”
(ZeroPro: 10/10/22)
Typically, when a stock makes such a big run on no identifiable news, short-selling day traders will often look to short the first red day. As you can see though, on this occasion (marked in yellow) the first red day held up.
Most importantly, it’s necessary for any trader to have a comprehensive understanding of risk management to ensure losses, when taken, are minimal.
Watch: Tip 1: Risk management by Stephen Kalayjian
$LUCY likes to run
(ZeroPro: 10/10/22)
Traders like to say that each stock has its own unique personality, referring to identifiable characteristics of the way each stock trades. Well, this stock has a personality and a familiar name to boot, meet: $LUCY.
$LUCY ran more than 100% on October 7 before selling off into the close towards the end of the day. From highs of roughly $3.45 down to after-hours lows of $2.06, the percentage difference was 40%. It shows that potentially one trade can make a trader’s day, week or even month depending on size used.
On the contrary, though, we’ve also seen some day one gappers run in recent weeks. In ‘Talking Tickers: September review’, JTrader breaks down how he identifies which gappers may run and which may fail.
Watch: Talking Tickers: September review with JTrader & Stephen Johnson
To Conclude
- The market may make new year lows, but microcap stocks are still providing opportunity.
- Even if a stock doesn’t have an identified catalyst, that doesn’t make it an automatic short.
- Watch JTrader’s September review to see how he identifies gappers.
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Reference
- YouTube| Strategies Revealed: How To Profit During The Bear Market of 2022 | feat. Alex Temiz (MIC): Accessed 10/10/2022 (https://www.youtube.com/watch?v=UMyauT01CLM&ab_channel=TradeZero)
- InvestorPlace| What Is Going on With Pineapple Energy (PEGY) Stock Today?: Accessed 10/10/22(https://investorplace.com/2022/08/what-is-going-on-with-pineapple-energy-pegy-stock-today/)
- YouTube| Tip 1: Risk management by Stephen Kalayjian (https://www.youtube.com/watch?v=HKX3WrDoavU&ab_channel=TradeZero)
- YouTube| Talking Tickers: September review with JTrader & Stephen Johnson (https://www.youtube.com/watch?v=uiPsCM7lOb4&t=12s&ab_channel=TradeZero)