After three years of silence, "King of the Retail Investors" Keith Gill, aka "Roaring Kitty" made a comeback with a teaser image, sending Reddit fans into a frenzy. GME skyrocketed, leaving everyone in awe. Not to be outdone, AMC also saw astronomical gains, achieving in one day what others might take years to accomplish. Within just two days, some folks on the WSB (WallStreetBets) forum boasted returns as high as over 4000%. Who wouldn't be tempted by that? But remember, in such speculative plays, early believers get the meat, latecomers get the scraps, and the last ones end up paying the bill. How long will this surge last? It's hard to say, but how do you spot the next GME? With Tiger Trade, you might just catch the next big wave!
1.Keep an eye on the Daily Movers & Shakers list and be the first to act.
Path: Market - Stocks - US Stocks - Movers & Shakers
Quickly grasp the first signs of unusual stock activity in each market. You can also filter to see only the movers & shakers in your watchlist. Get instant access to insights about these movements to make more efficient trading decisions!
2.Utilise options to amplify returns
Path: Individual Stocks - Options - Call
The last time WSB retail investors "beat" the shorts, they mostly leveraged options. Buying a call option means an investor can purchase the stock at the strike price before the option's expiration date. If the stock price exceeds the strike price, the call option holder can benefit far more than a stockholder—GME’s stock price surged 74% in one day, while a recent call option saw an intraday gain of over 1350% (see the image below).
The surge in GME’s stock price last time was driven by several factors. First, short sellers were forced to buy back stocks due to the rising prices, further driving up the stock price. Additionally, financial institutions selling options also buy stocks to hedge their risks. Retail investors can then sell their stocks or options at high prices to lock in profits. Because heavily shorted stocks can be highly volatile, investing in options requires precise timing and carries significant risk. Be sure to consider your risk tolerance and manage your positions carefully.
Additionally, Tiger Trade supports the early exercise of American options. If your option position has high returns and you're worried about a price decline, or if poor liquidity makes it hard to close your position, you can choose to exercise early and sell the stock to secure your profits.
3.Use "Trade Feed" to find inspiration from experienced traders
Path: Home Page/Individual Stocks - Trade Feed
The Tiger Community now features a Trade Feed function, where you can see real moves of top traders who have enabled this feature (see Image 3). Before making a trade, check out what others are doing and make a more informed decision! You can also subscribe to their trade signals. Of course, learning from their losing trades can also help us avoid similar mistakes.
For Meme stocks, the key difference between striking it and suffering huge losses often boils down to timing. Never be the one left to pay the bill.
Download Tiger Trade, recommend it to your friends, and to catch the best opportunities!
Disclaimer：Investment involves risk.This is not financial advice. This advertisement has not been reviewed by the Monetary Authority of Singapore.Tiger Brokers (Singapore) Pte. Ltd. (Reg. No. 201810449W).