They indicate that a stock could be primed for a short squeeze.
Anytime a stock with lots of momentum has a squeeze, it's likely to make a big move to the upside because it's just consolidating or "catching it's breath" before it makes that next run higher.
So these red dots depend on two conditions...
- A stock that is trending up.
- A pattern that is forming as a pullback and sideways consolidation (squeeze) under that high.
Once these two conditions are in place and Nate sees the red dots (the LottoX indicator), he can make an entry in his buy zone.
When the dots turn GREEN, it signifies that the squeeze has "fired."
And that's when things get exciting.
When we put these trades on, we're trying to time a move in a stock with short-dated options, typically that expire the same week or sometimes the same day.
They're trades that cost very little to put on, but the potential payouts on them are tremendous.
The idea here is that you don't risk a lot of capital, but you go for very high % gains.
Nathan went live just a few hours ago to explain exactly how it works.
If you missed it, you can still catch the replay…
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