Since the pandemic lows in late March last year, the Dow has surged by more than 70%, the S&P by 74%, the Nasdaq by 99%, and the small-cap Russell 2000 by more than 116%!
It’s been a record-setting move.
But the best part is that it looks like there’s a lot more upside to go.
That was echoed by Goldman Sachs when they forecast the market to hit 4,300 by the end of 2021 (+12.4% from here); and 4,600 by the end of 2022 (that’s another +7.0% on top of that). All in all, that represents a 20.3% increase from where we are today.
And if you get into the right stocks and industries, your gains could be far greater than that.
These are historic times for both the economy and the market.
And if you play it right, you could transform your portfolio.
History In The Making
Q3 GDP just showed a 33.4% growth rate, which was the largest in history.
Q4 GDP is forecast at 8.5%, which, aside from last quarter, would be the highest quarterly growth rate in 31 years.
Full year GDP for 2021 is expected to grow at the fastest pace in 38 years.
We’ve seen record job growth over the last 7 months (even with Friday’s decline for December).
Home sales recently hit a 15-year high.
Retail sales have hit an all-time high.
And interest rates, which are near zero, are at all-time lows, and are expected to stay that way for the next 3 years or longer.
With all of these bullish economic records being made, it should come as no surprise that stocks have been setting records as well with all of the major indexes having just recently broken out to new all-time highs of their own.
Continued . . .
Alert: Buy These Ultimate 4 Stocks Monday
Four experts each announce their single favorite stock with the best upside for what looks to be an incredible Q1. One is a red-hot tech stock producing key components used in 5G, artificial intelligence and driverless cars.
Today, download the private Special Report that names these stocks, and spotlights their exceptional gain potential over the next 3 months. Top analysts predict 2021 GDP will have the biggest increase in 38 years, starting with a powerful Q1.
Opportunity ends midnight Sunday, January 10.
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Vaccines Are Here and Stocks Should Skyrocket
As you know, the FDA, just last month, approved two Covid vaccines – one by Pfizer/BioNTech and the other by Moderna.
The UK also approved a vaccine by Oxford/AstraZeneca. And they just applied for FDA approval here in the states earlier this week.
That’s three vaccines so far. And they mark the beginning of the end of the pandemic. (And there’s more vaccines on the way.)
Let’s also not forget the new therapeutics to treat the virus if you get infected.
All of these breakthroughs are being hailed as the catalysts that will finally let the world get back to normal.
That means, everybody going back to work, going out to eat, traveling, going on vacation, spending money, and just living your life.
Even though social distancing restrictions are still in place, the amount of pent-up economic demand that was unleashed when we came off total lockdown was historic.
But we all know that a large portion of our economy was left behind.
When restaurants, and airlines, and hotels start opening back up to full capacity, not to mention concerts and sporting events, tourism and travel destinations, and every business big and small that benefits from servicing these industries, the economy is expected to grow at unprecedented levels.
And that should send stocks skyrocketing.
But remember, the market is forward-looking. It won’t wait until it happens. It will start moving in anticipation of that.
And that means the time to act is now.
Stimulus And More Stimulus
At the end of last year, the long-awaited stimulus package was finally passed and signed into law.
That money has already started going out. And that’s important because once that money gets into the hands of the people and businesses that need it, it will be spent immediately, helping to support the economy and jobs.
And that, of course, is good for the market as well.
But it looks like another stimulus bill could soon be on its way. Even before the ink was dry on the last one, Congress was already talking about another one – and even bigger. And it’s possible that could come by month’s end.
What we are seeing right now is history in the making.
And that means the potential for historic gains ahead.
So don’t squander this opportunity with preventable mistakes.
If you ever wished you would’ve traded the market differently in the past, now is your chance.
And making money in the market is easier than you think. You only need to do a few things right.
Do What Works
So how do you fully take advantage of this historic opportunity?
By implementing tried and true methods that work to find the best stocks.
For example, did you know that stocks with a Zacks Rank #1 Strong Buy have beaten the market in 26 of the last 32 years with an average annual return of 24.7% per year? That's nearly 2.5 x the S&P. But when doing this year after year, that can add up to a lot more than just two and a half times the returns.
And did you also know that stocks in the top 50% of Zacks Ranked Industries outperform those in the bottom 50% by a factor of 2 to 1? There's a reason why they say that half of a stock's price movement can be attributed to the group that it's in. Because it's true!
Those two things will give any investor a huge probability of success.
But you’re not there yet, as those two items alone will only narrow down a field of 10,000 stocks to the top 100 or so. Way too many to trade at once.
So the next step is to get that list down to the best 5-10 stocks that you can buy.
Stock Picking Secrets of the Pros
Picking the best stocks is a lot easier when there’s a proven, profitable method to do it.
And one of the best ways to do that is to see what stocks the pros, who use these methods, are picking.
Whether you’re a growth investor, or a value investor, prefer fast-paced momentum stocks, or mature dividend-paying income stocks, there are certain rules the experts follow to maximize their gains.
This applies to large-caps and small-caps, biotech and high-tech, bitcoin/blockchain, marijuana, ETF’s, stocks under $10, stocks about to surprise, even options, and everything in between.
Regardless of which one fits your personal style of trade, just be sure you’re following proven profitable methods and strategies that work, from experts who have demonstrated their ability to beat the market.
The best part about these strategies and stock picks is that all of the hard work is done for you. There’s no guesswork involved. Just follow the experts and start confidently getting into better stocks on your very next trade.
The Pros’ Best Picks for Today
Here’s an easy way to find them:
Download our just-released Ultimate Four Special Report.
It highlights 4 stocks with strong fundamentals that are hand-picked by our experts to have the biggest upsides for Q1.
As I mentioned above, 2021 GDP is expected to see the biggest increase in 38 years. The first quarter has already started off with a bang.
With so much economic momentum, the stock market is primed to surge – and these 4 stocks are predicted to be the best-performing stocks of Q1:
Stock #1: With climbing earnings estimates, strong demand coming out of pandemic shutdowns, and rumors of a partnership with Tesla, this basic materials stock’s future looks bright.
Stock #2: One of a small group of value stocks in the red-hot tech industry, this company produces key components for 5G, artificial intelligence and driverless cars.
Stock #3: This retailer grew same store-sales by 23% and online sales by 95% during the pandemic. After more than tripling the S&P’s gain since March, this stock has serious momentum.
Stock #4: Under-the-radar security firm with a track record of beating earnings estimates. With cyberattacks becoming more common, this company has unprecedented growth prospects.
I encourage you to get in on these stocks before their share prices really take off. Download this Special Report today. This opportunity ends midnight Sunday, January 10.
See our Ultimate Four stocks now >>
Thanks and good trading,
Kevin Matras serves as Executive Vice President of Zacks.com and is responsible for all of its leading products for individual investors. He invites you to download Zacks’ newly released Ultimate Four Special Report before this weekend’s deadline.
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