Technical Options Expert Bryan Bottarelli reveals why SHLL stock could be the next big move. As more companies use SPACs to go public, they can provide great investment opportunities. Read on to see why Bryan believes this could be the next Nikola stock.
More and more states are reporting rises in COVID-19 cases…
And the markets continue to shrug it off.
Is this a shortsighted approach?
Perhaps.
But as traders, we have to play the prevailing trends.
So right now, we’ll continue biasing the upside – as dictated by the major market averages – all within our “quick, nimble and balanced” approach.
With that in mind, this leads right into today’s new Trade of the Day pick: SHLL stock.
SHLL Stock: SPACs Increase in Popularity
You see, a hugely popular trend that’s starting to gain serious traction right now is special purpose acquisition companies(SPACs).
Some characterize them as “blank check” companies simply because they raise money from investors in an initial public offering (IPO) and then use those funds to acquire businesses – typically within a two-year timeframe.
This is how popular names like DraftKings (Nasdaq: DKNG), Virgin Galactic (NYSE: SPCE) and Nikola Corp. (Nasdaq: NKLA) all went public – by merging with SPACs and forgoing the traditional IPO route.
Based on the early returns we’ve been seeing, this model has clearly gained acceptance with both investors and traders alike.
So…
Could This Be the New Nikola Stock?
The biggest mover lately has been Tortoise Acquisition Corp. (NYSE: SHLL).
The chart speaks for itself…
Action Plan: Tortoise Acquisition Corp.does not trade options (yet). However, if you have some super-speculative funds, you may consider owning some SHLL stock, just in case it emerges into the next Nikola stock.
After all, when it comes to these SPAC plays, valuation and earnings don’t matter – it’s all about the promise of the future.
P.S. Other names currently without options include B. Riley Principal Merger (NYSE: BMRG), CC Neuberger Principal (NYSE: PCPL) and Churchill Capital (NYSE: CCXX). Some names with options include Vivint Smart Home (NYSE: VVNT) and Vertiv Holdings (NYSE: VRT).
Best of all, profiting is easy. All you need to do is listen for one unique sound, check your account and odds are you’ll have profits. It’s called the “Sound of Money.”
About Bryan Bottarelli
Whether it was selling the Star Wars figures he collected as a little boy for 50 times their value or using the $125 he made cutting grass to buy a Michael Jordan rookie card that he later sold for $1,500, it was always clear that Bryan Bottarelli was a born trader – possessing the unique ability to identify opportunities and leverage his investments.
Graduating with a business degree from the highly rated Indiana University Kelley School of Business, Bryan got his first job out of college trading stock options on the floor of the Chicago Board Options Exchange (CBOE). There, he was mentored by one of the country’s top floor traders during the heart of the technology boom from 1999 to 2000 – trading in the crowded and lively Apple computer pit. Executing his trades in real time, Bryan learned to identify and implement some of his most powerful trading secrets… secrets that rarely find their way outside the CBOE to be used by individual traders.
Recognizing the true value of these methods, Bryan tapped into his entrepreneurial spirit and took a risk. He walked off the CBOE floor and launched his own independent trading research service called Bottarelli Research. From February 2006 to December 2018, Bryan gave his precise trading instructions to a small, elite group – most of whom have been followers ever since.
As a “play tactician,” Bryan uses his hands-on knowledge of floor trading to shape opportunities and chart formations into elegant, powerful and profitable recommendations. And by using the same hedging techniques taught by professional floor traders, Bryan is able to deliver his readers remarkable gain opportunities while strictly limiting their total risk.
Along the way, Bryan has developed a cumulative track record that could impress even the most successful hedge fund manager.
He now spends his days moderating one of the most elite trading research forums ever created: The War Room.
