October 27, 2021 10 Big-Money Reasons to Follow Our Weekly ...

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October 27, 2021 10 Big-Money Reasons to Follow Our Weekly Hotlist

What is up, Green Zone Fortunes? I'm Adam O'Dell, chief investment strategist of Money & Markets, and founder and co-editor of your very own Green Zone Fortunes. I'm here for your weekly update. The good news is: Folks started worrying in September. We had a bit of a pullback. Stocks started drifting lower from the beginning of the month and pulled back about 5% as far as the major indexes. When you don't get a 5% pullback in quite a while, a 5% pullback is enough to make some people worry. But we hope that co-editor Charles Sizemore, research analyst Matt Clark and I were able to guide you through that pullback and reassure you that better things were to come, that it was nothing out of the ordinary. Lo and behold, we're here now toward the end of October. It's been a fast month. We are already seeing stocks minting new all-time highs. I am super excited about that. Activity's really picking up. I'm seeing trading volumes pick up. I'm seeing a lot of order flow going into stocks. Just this past Monday, a couple of days ago, I sent out seven trade alerts to my premium service subscribers. That was just all in one day. We took home an 88% profit on Monday. (We only sold half of our position to lock in 88%.) The very next day, that position was up 140%. So we're going to look to take some more gains as well. We also had a gain of 50% in three weeks. That first gain was 88% in six weeks. So we are making monster gains in only a matter of weeks and months, rather than years, in this fast-paced market. We're really excited about that.

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One thing to note is that one of those gains came from the consumer discretionary sector. It runs counter to the narrative. Everybody thought that the pandemic and then the slowing economy might dent consumers' pockets and you'd see consumer spending go down. Everybody thought that all the retail trading that we saw over the past year was just a one-time thing with the stimulus checks, and people at home and not out in the world, and they were bored, and they were trading. But, folks, this is real. This is sustainable. This is lasting. It won't last forever, but I think the best is still to come. We are seeing that consumer spending is strong. If you follow the monthly and quarterly reports of Interactive Brokers (Nasdaq: IBKR), which is one of the stocks in our portfolio, you know that their numbers are growing at a record pace. Tens of millions of new trading accounts are being opened up. There's an estimated $1 trillion that's going to be flowing into the stock market. It doesn't take a math whiz to know that when trillions of dollars flow into the stock market, you can only imagine what happens to stock prices. They tend to go up, and they go up faster than you would've imagined. So we're really excited for this environment. If I had to guess, I would say this environment is perfect for trading. It's not necessarily bad for investing, but to get the most bang for your buck, you need to learn and follow a trading system. I really think that this environment's going to last another 12 months -- maybe slightly longer, but not much more. You see, when things go exponential, they only last for so long. But I think we're in the third or fourth inning of this massive rally. I believe that we'll make some great gains ahead, both here in Green Zone Fortunes as well as in some of my premium subscription services. I'm excited to share a lot of that with you. I want to make sure you get the most out of your Green Zone Fortunes subscription. We spend a lot of time talking about the individual stocks in our model portfolio. Just as a reminder, those are positions that we aim to hold for between six months and three years. So I consider them investments. That's why we make sure that the majority rate well on all six factors in my Green Zone Ratings six-factor model. That's certainly what we do here in Green Zone Fortunes.

Top 10 Hotlist

But, as you know, as a special bonus part of your subscription, we include in every weekly email our Top 10 Hotlist. That includes the 10 stocks that we believe are poised for the biggest gains over the next several months. We don't spend enough time talking about those stocks. We're trying to do better at that, but we don't spend enough time. I know a lot of subscribers write in and end up researching and trading those stocks themselves. That's the best of both worlds.

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Those 10 stocks in the weekly Top 10 Hotlist get run through our Green Zone Ratings system. We're looking for the top rated stocks based on the six factors that we look at here in Green Zone Fortunes. But another thing that powers that hotlist is the momentum algorithm that I use in my Home Run Profits premium subscription service. That service is all about momentum. It's about finding stocks that are hitting their point of maximum momentum right now so we can get the timing right. We can get into those stocks and be in them for one, two or three months -- sometimes four months if we really get a stock that's on the run. But the point is that when you time things correctly, and you find a stock when it's reaching its point of maximum momentum, you don't have to hold the stock for a year or for 18 months or three years. You can make massive triple-digit gains in as few as three or four weeks or sometimes two or three months. That's really what powers the stocks that we select. My team and I hand curate these stocks in the weekly Top 10 Hotlist so that every week, you get 10 trade ideas that are poised for maximum momentum and are poised to take off. This is really the perfect environment to look at those stocks. With all the money that retail traders are pushing into the market right now, it's like shooting fish in a barrel. So I really want to bring some more attention to the Top 10 Hotlist and show you exactly how powerful it is. Again, it's powered by the algorithm that I use in Home Run Profits, which is a shorter-term trading system. It's super powerful. I just want to show you a few examples today of stocks that have been on that hotlist that have done well. In fact, a lot of times, Charles, Matt and I use that hotlist to figure out which stocks we'll put into the model portfolio for Green Zone Fortunes. We always have a short list of stocks of companies that we study. But as far as when we pull the trigger on that stock, whether we recommend that stock to you guys in the October or November issue of Green Zone Fortunes, sometimes that decision comes down to which of the stocks on our short list are hitting maximum momentum and which ones are showing up on that weekly hotlist.

Example No. 1: FIZZ

Here's one example from late last year. This is National Beverage Corporation (Nasdaq: FIZZ). If you followed our weekly Hotlist since last year, on November 18, 2020, FIZZ made the Top 10 list. We ended up adding it to our model portfolio in the December 2020 issue. We had an entry of December 16, 2020. Just about five weeks later, we saw a massive

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exponential runup in the stock. We were able to capture a quick 100% profit on that position as the stock ran up.

That move was going like gangbusters. It was driven in a similar way to a lot of the meme stocks you've heard about, like GameStop and AMC, where a lot of retail traders just colluded on a stock and drove it up. Since they were short sellers -- and this is kind of like inside baseball -- they had to cover their losses, and they ended up buying shares. So, really, in this type of market that's being dominated by retail traders right now, you can very easily get these massive runups. That's exactly what we did with FIZZ. I had subscribers write to me and say they'd never made that much money in such a short amount of time on a stock trade like this. That's exactly what we're trying to do with that hotlist: time the stocks perfectly as they're hitting maximum momentum. As you know, we still have FIZZ in the model portfolio. We still think it's a longterm investment, but this is one example of how we were able to use the hotlist to find a really hot high-probability, high-profit-potential trade.

Example No. 2: CSIQ

Another example: This is also a stock that used to be in our model portfolio, although we've now exited it. We got out in two halves, and we made profits on it. But Canadian Solar, a solar company, made our Top 10 Hotlist on July 15, 2020. We added it to the model portfolio less than a week later. Then, at the end of December -- December 22 -- we were able to take a partial gain on half of our position of 125%. That's 125% in about five months.

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Again, in this environment, these are the types of gains you can make if you know how to trade a momentum stock. That's what we did with Canadian Solar. Obviously, the whole solar industry backed off a bit, and we got out of the second half of our position for a lesser gain. But still, when you can make 125% in five months, you're doing pretty well.

Example No. 3: BCEI

Another example: This is Bonanza Creek Energy Inc. (NYSE: BCEI), an energy company that we have in our model portfolio. This stock hit our Top 10 Hotlist on February 17, 2021.

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Charles, Matt and I added it to our model portfolio in the March 2021 issue, so we got in about a month later. From the time it appeared on the hotlist, this stock is now up 100% through this week. If you judge it based on when we added it to the model portfolio, this position is up 75%. So, again, this is a great example of where, if you time things right and find a stock that's about to hit maximum momentum, you can make big gains fast.

Example No. 4: WIT

Another example: This stock was not on the hotlist, but it rated highly. This is Wipro Limited (NYSE: WIT), the Indian IT consulting firm that has given us fantastic gains over the past year or so. We got a Home Run Profits buy signal on July 22, 2020. We added this to our model portfolio in September of 2020, so a couple months later. We've been able to take home a profit on half of this position of 97%. Through today, the position's up 103%. So even though this wasn't on the hotlist, this was a textbook maximum momentum trade. We were able to add that to the Green Zone Fortunes portfolio for you.

Look at this rally. This is just a monster rally with very few pullbacks. I do believe a lot of this was driven by the retail crowd as well, even though it wasn't exponential.

Example No. 5: PWR

Another example is Quanta Services (NYSE: PWR). This is another stock that we added to our model portfolio this year. It appeared on the Green Zone Top 10 Hotlist much earlier -- in August of 2020. Since its appearance on that hotlist, if you traded it when it showed up on the hotlist, you're up 143% since then. Our more recent entry from June 2021 is up 33%.

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As you know, we believe this is a long-term investment as more of the power grid switches over to smart and renewable energy. So this is absolutely still a hold. But it just goes to show you, when you time the entry right, you can get a smooth and steady rally.

Example No. 6: FLGT

Here is another one that went exponential. This is a stock that we've just recently added to the portfolio. There's been this big pullback in biotech. You know that because all of our Imperium stocks have been in a pullback pattern for most of 2021. We had a strong, exponential runup in these types of stocks in 2020. Then, like everything, it can't go vertical forever, so a pullback is understandable. But we think that pullback is nearing its end. That's why we added Fulgent Genetics (Nasdaq: FLGT) to our model portfolio this month, October 2021. But this stock showed up on our Hotlist as early as September of 2020. If you'd followed the hotlist pick then, and bought Fulgent shares in September of 2020, you could have reached a peak gain of 467%!

It's up not as much now because of that pullback, but it's still up quite high. Again, this is a stock that we believe will lead the Imperium revolution along with Twist Bioscience (Nasdaq: TWST) and the other companies we've added to our portfolio. Make sure you check out the October 2021 issue if you haven't already. But this is another example where you've got to pay attention to the Top 10 Hotlist and do a bit of your own research. If you're a believer in the genomics revolution, then you want to go through that Top 10 Hotlist to find genomics and biotech-related stocks. If you had done that with Fulgent, you would've seen some monster gains as well.

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Example No. 7: EXPD

Another example: Expeditors International of Washington (Nasdaq: EXPD). This is a trucking company. You think of meme stocks, all the stocks that retail investors are pouring into, you wouldn't think necessarily of a trucking company. But you wouldn't think of Hertz either. The almost-bankrupt company, Hertz Rental Car, is one of the meme stocks that got run up. This stock appeared on the Green Zone Hotlist in September of 2020. We have not added it to our model portfolio here in Green Zone Fortunes, but we did make a trade on this in my premium service, Home Run Profits. In a matter of months, we were able to reach gains as high as 294% when this trucking stock rallied.

You can see from the chart that it went sideways from September of 2020 through March of 2021. Then if you see that histogram at the bottom, that's circled in green, that's my maximum momentum algorithm. That's its indicator. It basically shows you, that whole point, we weren't really interested in the stock until it hit its point of maximum momentum. At that point, it broke out of that sideways pattern and took off to new highs up to $130 per share. Some of my premium subscribers were able to take home gains as high as 294% in a matter of months. Let's do three more stocks...

Example No. 8: MSTR

You might have heard of MicroStrategy Inc. (Nasdaq: MSTR) if you've followed anything about the crypto market, and you know that a few public companies are

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