I have to be honest, when I looked at my Analyst's price target for this short squeeze candidate, I did a spittake of my coffee.

After wiping off my keyboard, I had a second thought: why not?

These types of trades have been working. And with an earnings catalyst on August 14 looming ahead, why not take a shot with a defined risk bet?

Indeed, why not?

In today’s Daily Digest, we’ll review the following:

1. No new positions today.
2. Rolling XLB to September options.
3. Closed XLE for small profit.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

Regional banks live far-out on the financial sector risk curve.

These companies take deposits and invest in fixed-rate assets—leaving them open to interest rate risk, and more specifically, duration risk.

When the Fed aggressively raised rates a few years ago, the market value of bank assets plummeted. At the same time, customers were withdrawing funds to earn higher yields elsewhere. 

Massive losses were realized, and some big regional banks didn’t make it. 

But that was over two years ago. Rates have stabilized, and the balance sheet issues have improved. 

More importantly, Regional Banks have undergone a prolonged bottoming process, and a new primary uptrend is underway.

And just look at what money-center banks and international banks are doing. They’ve been some of the best stocks around the world. 

Whether you look at...

From the desk of Steve Strazza @Sstrazza

Welcome to The 2 to 100 Club.

In this scan, we look to identify the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega cap status (over $200B).

Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.

But the scan doesn't just end there.

We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.

Some of the best performers in recent decades – stocks like Priceline, Amazon, Netflix, Salesforce, and myriad others – would have been on this list at some point during their journey to becoming the market behemoths they are today.

When you look at the stocks in our table, you'll notice we're only focused on Technology and Growth industry groups such as Software, Semiconductors, Online...

We’ve spent the better part of this year highlighting one breakout after another against the Greenback. The evidence is everywhere you look. 

Emerging-market currencies, developed-market FX, precious metals, and international equities. All these things are working.

This is more than just a handful of datapoints. It’s textbook intermarket behavior. And it’s what a weak dollar cycle looks like. 

If you’re still trying to figure out where to put your money when the Dollar’s trending lower, you don’t have to guess. History has made it clear:

This is the All Star Charts Weak Dollar Composite, a custom index we built to track this basket of assets. They all have one very important thing in common: they outperform when the Dollar is falling.

See how tight that inverse relationship is?

When the Dollar is in bullish regimes, these assets take a back seat. When the Dollar is in a bearish regime, they tend to lead. 

And it’s not just this cycle. You can zoom out forever and see this intermarket action repeat throughout history. We’ve seen it before...

In today’s Daily Digest, we’ll review the following:

1. New position in XME.
2. No adjustments needed today.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

There is a big catch-up trade brewing in the banking industry. 

The big banks have already been working. In fact, most financials have. 

JPM was one of the first Dow components back to new all-time highs. Goldman and Morgan are right there with it.

Meanwhile, Wells, Citi, and BofA either just resolved— or are on the cusp of resolving massive consolidation patterns.

And then there are the regional banks… most of which look nothing like the big guys.

They are still about 25% off their all-time highs. However, I'm betting they close that gap… and soon. 

Here’s a chart showing the big banks vs the little banks.

Up until a few years ago, there was never any material difference between these trends. 

But when the banking crisis struck, those with excessive lending exposure suffered...

I talk a lot around here about the “Hundred-Dolla-Roll.”

For those unfamiliar, it’s a phenomenon I’ve observed many times in trading: When a stock approaches a big, round number—$100, $200, $300—for the first time, it often acts as a magnet. Traders are drawn to that number. They anticipate it. They envision profits. They start to dream. And in the process, they learn a lot about the strength (or weakness) of the demand behind the move.

Big round numbers matter.

And today, I’ve hit a big one myself.

I turn 50 years old.

Strangely—I’ve been looking forward to it. I feel like I’m approaching my own hundred-dolla-roll moment. Like I’m entering a new phase of my life where magic is about to happen—across all domains: work, trading, community, relationships, and most importantly, the relationship I have with myself.

It’s a funny thing to say out loud, but I genuinely feel like I’m just getting started.

I’ve been doing a lot of reflecting lately. And one of the things I keep coming back to is this idea of purpose.

We all talk about it. We all say we’re looking for it. And most of us,...

As most major averages print fresh all-time highs, short sellers are getting squeezed hard.

They’ve been caught leaning too far in the wrong direction, and now they’re scrambling to unwind their bets as prices surge. 

That panic creates the perfect fuel for our Freshly Squeezed strategy - where we hunt for the most explosive short-squeeze candidates before they go vertical.

And right now, the leaderboard is lighting up.

As you can see, Big Bear AI $BBAI, New Fortress Energy $NFE, and Prime Medicine $PRME are at the top of the leaderboard. 

Over the last 10 trading sessions, they've rallied 95.7%, 90.7%, and 72.8%, respectively.

These are precisely the kinds of parabolic moves we aim to catch early.

We’re also tracking squeeze candidates by short interest and days-to-cover...

In today’s Daily Digest, we’ll review the following:

1. New position in XRT.
2. No adjustments needed today.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!