Why I trade the same stock over and over again

Back in January, as news came out of China about a novel virus that was ra... Why I trade the same stock over and over again Trading these three predictable stocks has beaten Wall Street's top money managers for the past 8 years. One subscriber is making so much money, he told us, "I no longer need a job!" Click here to find out how you can do the same yourself. Adapting to The New Normal By Robert Rapier Back in January, as news came out of China about a novel virus that was rapidly overwhelming health care facilities, I began speculating on what it could mean for the rest of the world. At that time, a friend asked me: "Do you think this is the next great pandemic?" My response was "I don't know, but this is how the next one starts. We may look back on this in a decade and not really remember these events, or we may look back on this as the event that changed everything." At this point, it's looking more like the latter. Let me be clear. I am not prone to hyperbole. But this pandemic will have significant, long-term ramifications on how we live our lives and how we invest our money. As I explained in an analogy to Utility Forecaster subscribers last month, it's kind of like Pearl Harbor. On December 6, 1941 Americans were living in one reality. The next day their reality changed forever. How Quickly Things Have Changed In the span of a month, our reality has changed forever. My career has been one of scenario planning. I try to anticipate and head off bad things before they happen, and then have contingencies in place if they do happen. I have thought about surviving a global pandemic for probably 20 years. There are parts that are playing out as expected. However, there are parts that aren't. The main thing I always focused on was the survival part. I hadn't given as much thought to the economic part. We have just never seen anything before that resulted in the cancellation of major sporting events and concerts to try to prevent the spread of a deadly virus. Schools and businesses shut down. The government is cutting checks for the entire country. That's all unprecedented. It's like the Spanish flu pandemic and the Great Depression all wrapped up in one. Yet Wall Street and many investors seem to believe that life will quickly return to normal as cases subside. I do not believe that. What to Expect It seems likely that as with the Spanish Flu pandemic of 1918-1920, there will be waves. We are in the first wave. Even before this wave crests, there is a push to open up the economy. And that push is understandable. We can't allow a massive failure of businesses in America. I look around and wonder whose doors will remain closed when they are allowed to open. Returns On This $5 5G Stock Could Make "Internet Millionaires" Jealous The Internet turned thousands of Silicon Valley nerds into millionaires. But 5G will make the Internet millions look like chump change. One neglected company with almost no competition... and a $6.6 billion patent royalty moat... could turn a miniscule $5,000 stake into $117,385 in only months. But claim your stake today, while you still get in at $5 a share. Click here for more. I see some states being aggressive and some being cautious. Many businesses will have to change how they do business. I think there will be an inevitable resurgence and we will learn by trial and error which approaches are working. Remember that the second wave of Spanish Flu killed the most people by far. After surviving the first wave, I think it's very possible that people begin to get a false sense of security and don't stick to behaviors that have kept them safe. Protecting Your Finances As an investor, I see a great deal of risk in certain industries and a great deal of opportunity in others. I don't know when theme parks will be able to open again. That's a major source of revenue for a company like Walt Disney (NYSE: DIS). When will people feel safe flying and going on cruises? How many people will continue to work from home after this is all over? Will restaurants fill back up soon? Those are things that have major implications on portions of the travel and leisure sector. They also have major implications on oil demand. Because I think the recovery from the pandemic will be slow, oil demand will remain depressed for quite some time. Even after OPEC, Russia, and the U.S. (among others) agreed to cut oil production by 10 million barrels per day, oil prices still slipped below $20 a barrel. The cuts are a drop in the bucket considering the unprecedented decline in oil demand. I just don't foresee a quick return to normal for the oil industry, which in turn will result in many financial casualties. I do foresee a reasonable economic climate for some sectors, such as utilities and consumer staples. We are entering a period in which these defensive sectors will be popular for quite some time. To the extent that you have disposable income to invest, I think these sectors warrant your attention. Many of the other sectors will be turnaround stories, but there's still plenty of downside risk in them. We'll witness lots of bankruptcies. I've just described our new normal. We must learn and adapt. Editor's Note: In the above article, Robert Rapier gave you his unvarnished assessment of the pandemic's consequences for the economy and financial markets. He also highlighted a few areas of opportunity amid the crisis. However, if you're looking for an investment method that works regardless of pandemics and economic uncertainty, turn to our colleague Jim Fink. As chief investment strategist of Options for Income, Jim has made huge profits for his followers with his proprietary trading system. Jim has developed a system that allows you to collect payments every Thursday, similar to a paycheck. Think of it as a "profit calendar." These payouts can range in value from $1,150 to $2,800, but average out to $1,692.50. Jim developed his strategy by studying the tried-and-true practices of Chicago pit traders and modifying them for use online. It's like getting an extra paycheck, week in and week out. The gain is so reliable, you can schedule it on your calendar. Jim made himself a wealthy man with his system. Now he wants to share his secrets with our readers. Jim Fink makes money in rising or falling markets. How does he do it? Click here for his presentation. Press The Profit "Repeat" Button On Your Favorite Stocks If you're only banking dividends and capital gains, you're missing out! Because there's a THIRD way to squeeze income from stocks in your account by pressing the "repeat" button on profits... as many as 20X a year on the same stock. Discover today how easy it. You are receiving this email at indra21poetra@gmail.com as part of your subscription to Investing Daily. To ensure delivery directly to your inbox, please add postoffice@investingdaily.com to your address book today. Preferences | About Us | Contact Us | Privacy Policy Copyright April 21, 2020 Investing Daily. All rights reserved. Investing Daily, a division of Capitol Information Group, Inc. 7600A Leesburg Pike West Building, Suite 300 Falls Church, VA 22043-2004 U.S.A.