Did you know China outperformed the United States stock market in 2024? We have the data.

We think this relative strength will persist, and if that's the case, don't forget about copper!

We discussed the long-term positive correlation between Chinese equities and copper futures a few months ago. 

Why does this relationship exist?

China is the world's largest consumer of refined copper and accounts for over 50% of global consumption. 

If one is going to work, so will the other.

More importantly, copper futures are testing a key level of interest:

Copper futures are potentially carving out the right shoulder of a multi-year inverted head and shoulders pattern.

This consolidation is happening in a primary uptrend: from 2020 to 2021, copper futures rallied nearly...

The market seems ripe for a good short squeeze. Don't you think?

Despite many market participants questioning the robustness of the current bull market, the worst stocks in the world keep outperforming. 

These stocks will get blasted and dramatically underperform in a true bear market environment.

We're seeing the opposite.

So we've gone through our Freshly Squeezed universe, and one name stands out.

Eos Energy Enterprises $EOSE, a $1.2B battery stock.

It's sporting a 27% short interest and a 7x days-to-cover ratio.

When the short sellers overstay their welcome (as they have in this instance), we look for opportunities to take the other side. 

Why? The risk versus reward is skewed in our favor.

Today's trade is in a stock who's price action is mimicking what their products delivers for its customers -- it's going vertical! How's that for kizmet?

That trade might classify as a "hard trade," but I'll be doing what I can to increase the odds of success in my favor.

Thanks to everyone who joined us for today's Hot Corner Insider Weekly Strategy Session.

Our International Hall of Famers list is composed of the 100 largest US-listed international stocks, or ADRs.

We've also sprinkled in some of the largest ADRs from countries that did not make the market cap cut. 

These stocks range from some well-known mega-cap multinationals such as Toyota Motor and Royal Dutch Shell to some large-cap global disruptors such as Sea Ltd and Shopify.

It's got all the big names and more–but only those that are based outside the US. You can find all the largest US stocks on our original Hall of Famers list.

The beauty of these scans is really in their simplicity.

We take the largest names each week and then apply technical filters in a way that the strongest stocks with the most momentum rise to the top.

Based on the market environment, we can also flip the scan on its head and filter for weakness.

Let's dive in and take a look at some of the most important stocks from around the world.

Here's this week's list:

In today’s Daily Digest, we’ll review the following:

1. No new positions today.
2. Adjustment to XLB position.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

Today’s most notable transaction comes via a Form 4 filing by EcoR1 Capital LLC, a biotech-focused hedge fund known for its expertise in high-growth life sciences investments.

The fund revealed a purchase of 363,369 shares of Zymeworks Inc $ZYME, equivalent to $5,321,175. EcoR1’s ownership stake in ZYME is now 22.04%.

Here’s The Hot Corner, with data from January 2, 2024:

But it doesn't end there. EcoR1 Capital also stepped in for a purchase of AnaptysBio $ANAB shares with a total value of $1,099,642. ANAB is now the largest holding in EcoR1’s portfolio.

Below is the 12th ASC Mastermind  Course. In this video, I dive answer a question that every new trader/investor wants to know: how do I find the next $100 Billion stock?

I get variations of this question every time I talk to young traders. "JC, how do I find the next NVIDIA?" Or "JC, how do you know which stocks are the best long-term plays?" Or my personal favorite, "JC, how can you buy this when it has such a high P/E ratio?"

Here's the deal. My answer to those latter two questions is this:  I'm most interested in stocks that are going up. And if a stock keeps going up, I will keep wanting to own it. Bar none. 

My answer to the first question is a little more nuanced. But there is an answer. And that's what this Mastermind is all about. We had this very question ourselves a few years ago, so we set out to reverse-engineer it. We made it so mathematically the next $100 Billion company HAS to come from this list.

Enjoy.

When assessing risk appetite and the health of the market, several approaches come to mind. One of my favorites is comparing Consumer Discretionary stocks with their Consumer Staples counterparts.

Discretionary stocks represent products or services consumers spend their "extra" income on—like leisure activities, retail, and other non-essential goods.

In contrast, Staples are those companies whose products and services we continue purchasing regardless of economic conditions. These include essentials like toothpaste, laundry detergent, beer, soda, and cigarettes.

Historically, Staples outperform significantly when markets face pressure, which makes sense given their necessity-driven demand.

How...

In today’s Daily Digest, we’ll review the following:

1. New position in TLT.
2. No adjustments are needed today.
3. Closed GLD and IBB for profits.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

From the Desk of Steve Strazza @Sstrazza

Welcome to The 2 to 100 Club.

In this scan, we look to identify the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega cap status (over $200B).

Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.

But the scan doesn't just end there.

We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.

Some of the best performers in recent decades – stocks like Priceline, Amazon, Netflix, Salesforce, and myriad others – would have been on this list at some point during their journey to becoming the market behemoths they are today.

When you look at the stocks in our table, you'll notice we're only focused on Technology and Growth industry groups such as Software, Semiconductors, Online...

GeneDx rallied over 2,500% in 2024 and was the best stock in the market.

What the hell are they doing right? 

They've built genome and exome tests and are the first to commercialize it.

It's a total game changer for pediatrics and humanity.

In most cases, children with a rare disease aren't diagnosed until 8 years old. 

GeneDx saves lives and money for the American taxpayer by diagnosing life-threatening medical conditions far sooner.

Out of the 3M+ babies born annually, less than 20K were tested. Why so few?

This technology is brand new, and the American Academy of Pediatrics (AAP) has not updated its exome and genome testing guidelines in a decade.

As of today, they tell pediatricians to use these tests as a "last resort." 

The good news is AAP is due to revisit its guidelines in 2025, and you can bet your bottom dollar that they'll change the guidelines.

The market is front-running the opportunity, and so are we.

GeneDx is also sporting a beat streak of 4 quarters. 

This all started in early 2024 when the...

The no coiners are back.

Have you noticed how every chance they get, they'll try to convince you that this is a major top for Bitcoin and the ponzi scheme is officially over?

The no coiners are angry like that. Imagine what it must be like to not have owned Bitcoin this entire time? Ouch.

Here's the "historic top" they're trying to scare you about. 

You tell me, does this look like the end of a major bull market, or does this just look like a normal healthy consolidation within an ongoing secular bull market?

There are opportunities in this space whether you trade Crypto currencies or not.

You've got the ETFs that track the price of Bitcoin and other tokens. You have the Crypto Miners like MARA and RIOT and others, which have presented us with several year-making opportunities this cycle. 

And of course, you have the infamous Microstrategy $MSTR, where Michael Saylor continues to buy more and more Bitcoin with every rally or dip. He does not discriminate. He just keeps on buying.

Here's a zoomed out look at Microstrategy so you can see this was just the highest quarterly close in the history of the company, even...

Today’s most notable transaction comes from John W. Childs, director of Biohaven Pharmaceutical Holding Company $BHVN.

Childs bought 29,000 shares, equivalent to $1,042,393 in its latest Form 4 filing.

Here’s The Hot Corner, with data from December 31, 2024:

Happy New Year, everyone!

In 2024, the global advertising market grew to nearly $700B, which is expected to reach $1T in 2025.

Fortunes are being made in advertising.

Google, Meta, and Amazon are dominating the industry. However, they're not growing at the same rate as before.

AppLovin is growing the fastest, and 99.9% of Americans have never heard of the company.

$APP rewarded shareholders with an astounding 700% last year.

What's more, we think it's just getting started.

Since AppLovin bottomed in Q4 2022, it has been rewarded for reporting 8 out of 9 times. 

Wall Street loves it when $APP has earnings events.

In addition, we love the chart.

The stock resolved higher a few months ago after carving out a massive basing pattern from 2021-2024. 

It has been screaming higher since then.

We're long $APP above the VWAP anchored to the historic Q4 2024 earnings gap. 

If it can hold above 313, we're looking at 465 and 747 as our initial objectives over the coming 3-6 months.

Tesla wins again. 

Elon has done his job better than any other CEO in the world.

The role of a CEO is to increase shareholder value. Period.

How about a 3000% return in a couple of years, followed by a few years digesting those gains. And then another 180% return from the lows this Spring, adding an additional $800 Billion in market-cap...

Here is a chart showing the highest monthly close in company history. Highest Quarterly close in company history. And the highest annual close in the history of Tesla.

This is what winning looks like:

As of December 31, 2024

Around 50% of Americans are obese. 

It's a huge problem! 

Many have turned to the new "wonder drugs" (GLP-1 receptor agonists) from Eli Lilly and Novo Nordisk. Unfortunately, these drugs aren't the cure for everyone.

If you're overweight, fatty liver disease is waiting around the corner for you. 

Nearly 65% of U.S. adults are projected to have a fatty liver disease, known by the acronym MASH, by 2030.

Over the last few decades, dozens of biotechnology companies have tried (and failed) to develop a cure for the disease.

Investors have lost fortunes in the process.

Enter Madrigal Pharmaceuticals.

In March 2024, the company was granted FDA approval for its oral medication, Rezdiffra. This is the first MASH medication ever approved.

The chairman and director of the company, Julian Baker, is one of the most respected names in the entire biotech industry. 

We wrote a deep dive on why we (and many others) follow his fund, Baker Brothers Investments. You need to check it out if you haven't already.

The Baker...

As 2024 comes to a close, I want to take a moment and share some of the most important lessons I learned this year.

Here are ten of them, in no particular order.

1. Skin in the Game: Don’t be afraid to trade—there are no excuses not to start. Today’s world offers countless platforms and opportunities with low barriers to entry. While this field demands a willingness to take risks, you don’t need to invest everything at once. If fear of loss is holding you back, begin with a small portion of your capital. Taking that first step is essential, as true learning only happens through action and experience.

2. Embrace Relative Strength: By identifying and buying the strongest performers in the market, you position yourself to capture alpha and ride the momentum of the true leaders.

3. Keep It Simple: Simplicity breeds clarity and confidence. Overcomplicating strategies often leads to hesitation, doubt and overfitting. Keep your...