How do we know what the market’s risk appetite truly is?
Yesterday, I showed you some evidence from the bond market.
Today, let’s look at a segment of the stock market most traders don’t even know about.
Chart of the Day
This is the S&P 500 High Beta Index.
It measures the performance of the top 100 companies in the S&P 500 with the highest beta.
A stock’s beta tells us how sensitive its price is to changes in the broader market.
The higher the beta, the more sensitive it is.
For example, if the market moves up by 10%, a stock with a beta value of 2X would generally move up by 20%.
The same is true in the other direction - if the market falls by 10%, that stock would fall by 20%.
Now, as you can see, the S&P 500 High Beta Index is near all-time highs.
This means many investors are heavily betting that the stock market will go higher…
Which is why they’re positioning themselves in these fast-moving stocks to take advantage.
In other words, their risk appetite is strong.
That said, I’m not suggesting you buy into the S&P 500 High Beta Index.
I think there are far better ways to play this risk-hungry – yet uncertain – market.
I explain below.
P.S. I’m releasing my next edition of 2 Trades in 2 Minutes later today. This trades could move fast, so you don’t want to get them late. It’s all free – just text the word “trade” to 87858 and my team will send the link straight to your mobile.
Insight of the Day
In a risk-hungry yet uncertain market, we want to target explosive stocks in their “reload” phase.
Even the most explosive stocks never go straight up.
There are always rests, pauses, or even straight pullbacks in the middle.
These form what I call the “reload” phase.
This is the necessary stage where the stock is gearing up for their next explosive move upward.
But – many traders often confuse this with a stock stalling and exit their positions, looking for better opportunities.
Of course, when they’re proven wrong and the stock starts surging…
They FOMO and jump back in – fueling the surge even more.
These are the stocks we want to target, and we want to do so when they’re in their “reload” phase.
That’s why in just a few hours at 11 a.m. Eastern this morning…
I’m going LIVE to show you the #1 way to target these explosive stocks that are currently “reloading”.
I’ll even give away the name and ticker of a top setup that’s forming right now.
In the past, these “reloading” stocks have exploded 270% in 70 days… 177% in 11 days… even 148% in just 2 days…
But considering the combination of risk appetite and uncertainty right now…
Gains like these could just be the beginning.
So click here to “lock in” your spot for my live reveal if you haven’t yet…
And I’ll see you in just a bit at 11 a.m. ET.
P.S. If you’re planning to attend on a mobile device, make sure you download the presentation app now so you don’t miss anything when it starts. See you there.
iOS: https://apps.apple.com/us/app/goto/id1465614785
Android: https://play.google.com/store/search?q=goto&c=apps
Customer Story of the Day
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I waited about three months to write this review to give myself time to see the impact on my portfolio and I have been completely satisfied.
Ross has a no nonsense, simple approach that makes it easy for all investors and he takes the time to answer all questions on a weekly basis.
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Ross Givens
Editor, Stock Surge Daily
