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SHORT SQUEEZE IN THE STOCK MARKET TAKES HOLD

September 26, 2020

To gain an edge, this is what you need to know now. Short Squeeze Takes Hold Please click here for a chart of Nasdaq 100 ETF (QQQ). Note the following: In the Morning Capsule we wrote: …it is Friday and short squeezes are common on Fridays. If a short squeeze occurs, there is potential for a rally. A short squeeze has taken hold. Our review of a large number of stocks shows that the short squeeze is particularly viscous in select momo stocks. The VUD indicator is the most sensitive measure of net supply demand in real time. Orange indicates net

MOMO BUYS EVERYTHING BUT SUPPLY DEMAND PICTURE MIXED

September 25, 2020

To gain an edge, this is what you need to know now. Momo Buys Please click here for a chart of Nasdaq 100 ETF (QQQ). Note the following: The momo crowd is buying everything — stocks, gold and oil. In the very, very short term, they got technically oversold. When markets get oversold, they tend to bounce and momentum reverses. All momo crowd needed was a reversal in momentum to start aggressively buying. VUD indicator is the most sensitive measure of net supply demand in real time. Orange is net supply and green is net demand. The chart shows the VUD indicator started

VERY PROFITABLE TRADE GOING AGAINST WARREN BUFFETT NOW IN THE TARGET ZONE — TAKE PROFITS

September 24, 2020

After a short at $16.32, The E. W. Scripps Company (SSP) rapidly fell into the target zone trading as low as $13.15 in the premarket. All subscribers should have taken full or partial profit. Those who are still holding partial quantity may consider moving the stop to the zone of $14.56 to $15.31. This post was just published on ZYX Short Sell Change Alert. You are receiving less than 2% of the content from our paid services …TO RECEIVE REMAINING 98%, TAKE A FREE TRIAL TO PAID SERVICES. Please click here to take advantage of a FREE 30 day trial. Check

GO AGAINST WARREN BUFFETT — A NEW TRADE ON THE E. W. SCRIPPS BUYING ION

September 24, 2020

The E. W. Scripps Company (SSP) is buying ION Media. Buffett is helping SSP by making a $600 million preferred equity investment. However Buffett is getting very attractive terms that are not available to regular investors. The stock has jumped 56% to $16.31 in the premarket. The short zone is $16 to $18.88. Maximum recommended position size is 25% or less of full core position size. The problem with this trade is that the ideal place for a stop is over $23. Consider stops on one-half of the quantity in the zone of $20.11 to $20.56. On the remaining consider

UPDATE ON TESLA POSITION — EXCELLENT VISION OUTLINED AT THE BATTERY DAY

September 23, 2020

Musk outlined an excellent vision at the ‘Battery Day.’ Here are the key points: Tesla (TSLA) says that silicone can store nine times more than lithium and graphite. In our analysis, Musk is right about storage but silicone currently has issues. These issues include cracks, loss of electrical contact and short life. Tesla is bringing battery production inhouse but no volume production is expected until 2022. TSLA unveiled tabless battery that significantly reduces cost. TSLA sees delivery rising 30 -40% in 2020. TSLA is confident that it can make a $25,000 electric car in three years. Separating The Stock From

KB HOME STOCK BREAKS OUT ON GOOD EARNINGS IN THE RED HOT HOUSING MARKET

September 22, 2020

The housing market is red hot. The hottest housing segment is starter homes and this is exactly where KBH is focused. KBH is long from $16.15. It has traded at $40.94 after earnings in the aftermarket. The Chart Please click here for a chart of KB Homes (KBH). Note the following: Technically the stock has broken out. Going into the close, the stock was running up in anticipation of good earnings. Earnings were better than the consensus and whisper numbers. Stocks move based on the difference between the reported earnings and the whisper numbers. In the afterhours, after the

MOMO CROWD BUYS THE DIP IN MOMO STOCKS

September 22, 2020

To gain an edge, this is what you need to know now. Momo Buys Please click here for a chart of Nasdaq 100 (QQQ). Note the following: The VUD indicator has turned green along with a move up in QQQ price after being solid orange earlier in the day. The VUD indicator is the most sensitive measure of net supply demand in real time. Orange indicates net supply and green indicates net demand. We looked at a number of momo stocks. The amplitude of the VUD indicator in momo stocks is significantly higher than in QQQ. QQQ itself represents mostly momo

RAISE CASH, POLITICIZATION OF JUDICIARY IS A NEGATIVE

September 21, 2020

Raise Cash Consider increasing cash on bounces. See ‘Protection Bands and What To Do Now?’ section below. The Chart Please click here for a chart of S&P 500 ETF (SPY). Note the following: During the rally, the price never touched the trendline. There is another downward push this morning. The price did not stay above the breakout line for long. Politicization Of Judiciary After Ginsburg’s death, the judiciary in the United States may get politicized beyond an important threshold. This is a negative. Here are the key points: The U. S. has been able to borrow and print money without