The dumbest smartest way to earn in a stock market | by Ayrat Murtazin | Jan, 2024
A brief review of the FDA calendar on the website reveals numerous publicly traded companies, specifying the disease the drug targets, the trial phase, and the catalyst date.
The approach to this strategy is uncomplicated. It’s remarkably straightforward.
Numerous individuals tend to overly respond to positive news, causing the stock price to skyrocket. Even if you’ve missed the initial surge of 1000%, there’s an opportunity to bet against the stock as it gradually returns to a more realistic market value.
A brief examination of a stock such as Sunshine Biopharma will swiftly make this abundantly clear.
Following every surge of positive news, typically a favorable catalyst, the market promptly retraces to almost the same value it held before, once the event is factored in and the market reevaluates what is considered reasonable, especially after scrutinizing trial results in more detail.
In essence, the strategy is to short biotech stocks after significant upward swings, capture potential 1000% or 10x gains, and transform a modest $100 account into a $1,000,000 account in just four trades. However, it’s essential to note that this strategy comes with substantial risk, given the complexity of the biotech sector. While I do not recommend this approach due to its high-risk nature, if you have a penchant for speculative endeavors in the stock market, biotech might be the sector for you.
