BlackRock recently warned of resurging inflation in the months ahead.
This suggests a repeat of 2022 could be underway. And frankly, you’re not alone if you were forced to raid your retirement savings due to inflationary pressure.
But suppose BlackRock is right; what side of the story will you end up on?
Many traders will get steamrolled again.
However, several institutions (like Blackrock) will be moving large sums of money this period, and you can use this trend as an opportunity to grow your bottomline.
It begins with taking advantage of volume analysis.
As you know, trading volume measures how much an asset has traded in a period. For stocks, volume is measured in the number of shares traded. While futures and options are based on how many contracts have changed hands.
For decades, traders have used volume analysis to determine the strength of conviction behind upward and downward trends in specific stocks and markets.
And today, it can help you survive and thrive amid market turmoil.
Here are some benefits of using a proper volume analysis software:
- Seize opportunities in megacaps, which often do well during inflation.
- As earnings season approaches, volume analysis empowers you with real-time insights to make informed decisions in the blink of an eye.
- Beyond earnings, volume trading software (with unparalleled algorithms) can shield you from potential disruptions caused by fear of higher inflation.
Now, many expected less volatility in the markets this year.
But the January market tremors are a stark reminder of looming macroeconomic risks that could disrupt the much-anticipated “soft landing” this year.
That’s why BlackRock suggests a year packed with several market twists and turns, where inflation and surging valuations create prolonged uncertainty.
This kind of gloomy forecast usually sends most investors into a panic.
But that doesn’t have to be your story.
A good approach is to consider mega-caps that dictate market growth.
Like Apple, Microsoft, Google, Amazon, Nvidia, Meta, and Tesla.
These stocks usually perform well during high inflation.
And they can offer multiple trading opportunities to grow your bottomline.
Of course, some, like Tesla and Microsoft, are currently overvalued.
Still, there’ll be several unique opportunities in other mega-caps as we approach the earnings season. A good way to reduce your risk — while increasing the profit potential on your trading positions — is to use the right volume trading software.
This approach gives you a clear understanding of what the smart money is doing and helps you zero in on safe, lucrative opportunities relative to inflation.
For more insight, see the software giving us an edge in this market..
To your trading success,