In the stock market nothing produces a rush like volatility and when one is on the winning side of a volatility-driven trade the rush can turn to pure euphoria.
Wild swings in the market are loathed by many, but not those hunting for big gainers among stocks. For these thrill seekers it’s all about the bagging the beast of a trade. With earnings season upon we have a target rich environment for those craving action.
When a company reports earnings, a stock can move instantly by 5% to 10% or even more. These events-driven moments blow away the idea of a market producing efficient pricing.
It might not make sense to see these crazy moves in a stock after earnings, but that doesn’t mean you can’t profit richly by being on the right side of these giant moves.
I have a very simple process for identifying the winners during earnings season that anyone can follow. All I need are the targets.
These three companies report earnings on Wednesday and they are all likely to see huge swings after they release the numbers: