Trading signals! | Coronavirus

#1
Now the market is developing a very interesting situation.

Correction is good. This is very and very good.

For example, you can analyze the correction that was in December 2018.

Look at the company:

Apple: https://finviz.com/quote.ashx?t=AAPL&ty=c&ta=0&p=m

Ferrari: https://finviz.com/quote.ashx?t=RACE&ty=c&ta=0&p=m

Alibaba: https://finviz.com/quote.ashx?t=baba&ty=c&ta=0&p=m

and a number of companies.

Correction gives a very good opportunity to buystocks of some companies at competitive prices. The question is to find the shares of those companies that will recover in price and possibly even surpass previous highs.

Current situation with coronavirus

https://en.wikipedia.org/wiki/2019–20_coronavirus_outbreak_by_country_and_territory

https://ru.wikipedia.org/wiki/Вспышка_COVID-19

https://www.who.int/emergencies/diseases/novel-coronavirus-2019

allows some companies to make good profits.

For instance:

Alpha Pro Tech: https://finviz.com/quote.ashx?t=apt

Lakeland Industries: https://finviz.com/quote.ashx?t=lake

Repro Med Systems: https://finviz.com/quote.ashx?t=KRMD&ty=c&ta=0&p=m&b=1

This is some example of what could happen to the legal cannabis industry in the light of some of the expected developments.

We talked about these companies earlier in the Ebola epidemic.

Schrodinger, Inc. may be of interest.

Previously, there was a pre-IPO offer from UT.

https://finviz.com/quote.ashx?t=SDGR

https://www.cnbc.com/2020/01/27/bill-gates-in-2018-world-needs-to-prepare-for-pandemics-just-like-war.html

There are a number of companies in this area.

But here you need to show not just caution, butreal common sense. If it turns out that this is more panic and coronavirus is not more dangerous than seasonal flu, the shares of these companies will be merged very quickly.

Perhaps the best option would be to find more stable companies that are less prone to similar news.

Sooner or later, Chinese companies will startrecover, but not all. Since coronovirus, this is far from the only problem for the PRC. There are now quite a few problems, including corporate debt and the ban on the work of some companies in certain countries of the world.

Competition, all ways are good ...

Chinese companys: https://finviz.com/screener.ashx?v=111&f=geo_china

Sometimes, such situations offer great opportunities.

It's time for greed, but at the same time, you need to understand very well what you are doing. Just at random, it won’t work.

# 2
Pump and dump

In terms of speculation, there are interesting specimens.

Relatively, I have not seen this for a long time. The last craziness that comes to my mind is some Shipping on the news from Donald Trump.

If you do not know what you are doing, the risk of losing your investment is quite large.

In this case, open the short, by sellingunderlying asset poses great risks. Theoretically, the risk has no limit due to possible stock growth. If the situation with this epidemic continues, and even worse, worsens, this can itself lead to an even greater increase in the stock price of these companies. Open a lower position through the purchase of a put option, it seems a more reasonable decision. Since the risk will be limited by the price of the premium paid.

But the problem is that not all stocks have options. Not all options that exist have an acceptable life and price.

As a percentage of risk to profit, all the advantages are on the options side, if their lifespan is removed. But this cannot happen ...

Personally, I would prefer options in this situation.

Examples:

1. https://finviz.com/quote.ashx?t=apt&ty=c&ta=1&p=d

2. https://finviz.com/quote.ashx?t=LAKE&ty=c&p=d&b=1

3. https://finviz.com/quote.ashx?t=CODX&ty=c&p=d&b=1

Everything, well, or almost everything: https://finviz.com/screener.ashx?v=341&o=-perf1w

Inefficiency, in some situations, may work well.

If we go even lower, what would I like. But not all Wishlist are allowed. If this happens, there are a number of companies that can be purchased in the investment portfolio at very attractive prices.

Observe the risks.
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