Volatility is back, traders. At least it was this week. On Thursday morning, the rug got pulled out from underneath a lot of stocks and left a lot of traders asking, “What is going on?” or, more importantly… “What the heck do we do?”
Well, I’ll tell you what to do: Put your ego aside and pay attention. Because I’m giving away, for free, some dips I’m buying during volatility.
The reason I tell you to put your ego aside is because I know how a lot of traders are, including myself sometimes. We wanna trade in large sizes and push it to the limit. I get it.
But at times like this, when the market is at all-time highs and you’re trying to go all in, and the rug gets pulled from under you… Your account is going to suffer.
Which is why I’ve been talking to my members for WEEKS now about day trading and reducing risk.
So how do we do that? We go contrarian. We look for dips to buy during volatility.
The first thing I do when looking to reduce risk is look for stocks that are not directly correlated to the overall U.S. stock market.
I do this because I want stocks that are going to perform in their own space and not fluctuate with the volatility when it inevitably increases. One such space is retail.
So, what are the retail dips to buy during volatility?
One that we talked about this week in the Blitz Market Color is The RealReal Inc. (Nasdaq: REAL). Twice we had to repeat call-buying, and Thursday it was up 4%. Boom. In the money, already on a day when volatility came back.
Another advantage of being contrarian is that it gives me the chance to turn other people’s fear into profits. Now, as a note, I am trading these stocks in small amounts because there is risk. But there’s also a chance at profits.
The obvious name here is one I talked about in a video earlier on in the week: Didi Global Inc. (NYSE: DIDI).
After China’s crackdown on the company following the stock’s IPO, investors who rushed to buy it at the offering suddenly wanted out… and the stock has yet to recover from all that selling.
So I’m buying and hoping to profit off of that fear.
We’re also seeing a good amount of worry as COVID-19 cases begin to rise again after the Delta variant…
And I’ve got some stocks I like there too, in case they’re wrong.
So check out my short video below to find out all of the best dips to buy during volatility and see how I’m reducing risk.
Let me know what you think in the comment section and make sure to subscribe to our YouTube channel. Plus, if you ring that bell you can always stay up to date with the latest market happenings.
P.S. It shouldn’t come as any surprise that CEOs and billionaires behind the curtain are making secret moves…
In fact, new research has uncovered a disturbing truth about corporate America and certain “legal” tactics they’ve been using to force the rise of their own stocks.
But after months and months of investigations, one former Wall Street insider is finally ready to reveal the details he discovered…