Has the next hot sector been ignited?

Five stocks with over 50% gains in one day…                                                                                                                                                                      Good Morning! At least five stocks in the same sector all gained over 50% yesterday — most gained over 100%! You might think they’re in the red-hot artificial intelligence sector ... But you’d be wrong… There’s another sector that traders are getting excited about. Buyout news for one company has sparked a new interest in these low-priced stocks… Want to learn how to trade them? Today I’m sharing the stocks in this sector that are soaring … And how many of my patterns can be used together to trade them… The Newest Hot Sector? [Buyout news]( for BELLUS Health Inc. (NASDAQ: [BLU]( sent it up 100%. And I think that injected some excitement into the biotech sector. Uneducated traders see the news and that big move and think that they can buy any small biotech company and hope for buyout news. We had five big biotech percent gainers yesterday. Here are their percent gains from Monday’s close to yesterday’s high: - Allarity Therapeutics, Inc. (NASDAQ: [ALLR]( — 166% - Gamida Cell Ltd. (NASDAQ: [GMDA]( — 63% - SAB Biotherapeutics, Inc. (NASDAQ: [SABS]( — 88% - Dermata Therapeutics, Inc. (NASDAQ: [DRMA]( — 148% - Bright Minds Biosciences Inc. (NASDAQ: [DRUG]( — 104% But as [day traders]( who focus on using the right process, strategy, patterns, and risk management — we know holding and hoping isn’t a strategy. So let’s get into how I approach trading these stocks using the [tools in our trader toolbox]( The [patterns in my ebook]( can all be used cohesively to trade hot sector stocks or any stock that has the potential to become a multi-day runner. This is how I like to use them… First, on day one, I like to look for stocks to have a 9:45 a.m. or later dip and rip. That gives the stock time to prove it can hold up, and that it can make new highs. That was the move I was looking for in ALLR yesterday. And it worked… ALLR chart: 1-day, 5-minute candle — courtesy of [StocksToTrade.com]( The stock broke above its premarket highs just before 10 a.m. Eastern and gained 65% from that level. Whether or not a stock I’m watching for a [dip and rip]( makes the move, the next pattern I watch it for is the [VWAP hold, high-of-day break pattern]( I want to see a stock hold above VWAP all day or at least chop around it sideways all day. Then I want it either to [hold above VWAP or reclaim it]( and then break above the high of the day. If the stock doesn’t have either of these patterns and ends up closing near its lows — let it die. But if a stock with a big gap up holds up into the close — even without a big morning or afternoon move — it stays on watch. Because the next day I’m watching it for a [weak open red-to-green move]( or a break above the previous day’s high. Most of the big runners from yesterday closed weak, so they might not have much follow-through today. But that doesn’t mean there won’t be a [new trashy, low-float]( biotech running this morning… Ideally, it will have news so it has more legs to run for multiple days. Either way, this sector is on most traders’ radars now so it could be in play for a while. Stay up to date with what’s happening in the market and hot sectors with [my Market Update videos three times a week]( My 10-pattern ebook is included as a bonus when you [sign up here](. Have a great day everyone. See you back here tomorrow. Tim Bohen Lead Trainer, StocksToTrade   sponsored   The Trader’s Edge – Back by Popular Demand! Yesterday’s FREE workshop was supposed to be a one off event… But due to popular demand, my team is coming back for a special ENCORE Workshop tomorrow! To take advantage of this opportunity… [>>Click here and save your seat at tomorrow’s FREE Trader’s Edge Workshop!<<]( sponsored   Invest In Your Crypto Education For $5 Arm yourself with the tools and education to take advantage of the next crypto bull run. It will come again. But will you be ready? [<< $5 gains you access >>](   Recommended Membership Gifts   ACCESS NOW: Click to activate these complimentary membership gifts and receive daily market intel. [To The Moon Report Weekly Stock & Crypto Watchlist]( [Mark Croock Evolved Trader Daily](     [Facebook]( [Twitter]( [Instagram]( [YouTube]( [Spotify]( [Click Here to Unsubscribe]( (As an Amazon Associate, we earn from qualifying purchases.) 13809 Research Boulevard, Suite 500, Austin, TX 78750 *Please note that these kinds of trading results are not typical. 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