The economic calendar is busy this week and I'm confident that all signs suggest a breakout in the IWM above $180.
While most traders watch inflation, the bigger picture, this week, is the debt ceiling.
The government has never defaulted, so let's try not to let the media scare us.
Given the IWM was as high as $200 in January, the debt ceiling catalyst could pave the way for a bull market in small-caps.
This is important for our day to day momentum trading.
The obvious reason is a rising tide lifts all.
But what I care about goes far beyond that.
A small-cap bull will trap short sellers and result in supernova breakouts.
Who doesn't like supernovas?
This is why I've started in on the $177 IWM Calls for June 30 at $4.65 and plan to add to this position.
The squeeze on the IWM daily chart is worth noting. My $177's will print even if we only get to $179-$180, but I'm thinking low to middle $180's for my exit if markets rip.
Regionals should go too.
SCHW is trading around $52 and if I'm right about the IWM, that means regional banks are going to run as well. My Calls will print if SCHW gets into the $60's anytime soon.
I'd like to get back into PACW Monday between $5.50-$6 and look for $10+ on a swing. Here I'm only buying the stock.
I'm in GSIT looking for $7-$9. This one is so strong, I'm thinking it could go Monday morning early between 4-9:30 AM ET.
LQMT looking for $.15-$1. Upcoming catalysts include Tesla's new products Elon teased last week and Apple's headset.
VRAX looking for $1-$2. To me this is a ringer, look for a spike above $1 soon.
And VERI Calls looking for the stock to move between $5-$7. One of my favorite AI plays, around $4 I'll be all over it until it triples.
As for new ideas, our Lightning Alerts service boasts Raging Bull's biggest chat room.
Scanner goes live as early as 4 AM ET and we stay on the names until 5 PM ET.
So far in May over 9,000 unique traders used Lightning Alerts chat, visiting 27,000 times.
And that number is growing all the time.
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Momentum scanner runs from the moment I wake up until 5 PM ET daily.
Final thoughts.
A 5-10 year small-cap bull market could spring any day now. Watch the debt ceiling to trigger the move in regional banks and the IWM.
Inflation is on its way down, so there's not much that could get in the way of my small-cap bull thesis.
I trade around the clock in Lightning Alerts.
If you're a beginner, I recommend the $2,000 Small Account Journey.
If you're a pro or aspiring pro trader, Lighting Alerts came here to chew bubblegum and kick ass ...
... and we're all out of bubblegum.
This should be a great week for us. Let's be ready to go.
Premarket momentum watchlist around 7 AM ET.
Lots, and I mean lots of alerts to your smartphone before I enter and exit the trades.
Day trades mostly. Swing trades too.
LET'S GO!  Jason Bond |
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