FIVE Lightning Strike Trades About to Hit 200% or More

In this report, you’ll get all the details on the five newest opportunities available to you right now.

And each one is about to trigger one of the Lightning Strike events I’ve told you about…

This is your opportunity to double… triple… or even quadruple your money in 30 days or less.

So let’s get right to them… 

(Due to recent market volatility, there are only three recommendations I am making currently.)

No. 1: Soliton

Personally, I have no problem with tattoos. Many of my friends have them. But I know myself. If I had gotten a tattoo when I was younger, there’s a very good chance I’d hate it today. Many of the things that seemed so important in my life 20 or so years ago, that I’d have considered permanently putting on my body, are trivial now.

And I’m not the only one.

There are an estimated 44 million Americans, or 63% of all those with tattoos, who want at least one of them removed. It’s a $4 billion market.

It generally takes at least 10 sessions over one to two years, separated by six weeks or more to allow for healing, to remove a tattoo. It costs thousands of dollars, and the current techniques don’t even work that well.

That’s where Soliton (Nasdaq: SOLY) comes in.

Its Rapid Acoustic Pulse (RAP) technology removes tattoos in a novel way.

The current standard, with lasers, doesn’t work well for two reasons. The provider can remove only what he or she can see, but ink remains well below the surface of the skin. Additionally, lasers heat up the skin, causing blisters, which actually protect the ink from being reached with the lasers.

RAP technology has a different mechanism of action. The acoustic shock waves remove some of the body’s barriers that protect the ink and increase dispersion.

In clinical trials, 100% of patients saw greater fading of their tattoos when RAP was combined with laser technology than when just lasers were used. Every single one. Adding RAP results in tattoos being completely gone in just two to three visits, saving time and money. It is also pretty much painless.

Additionally, Soliton saw strong clinical trial results using RAP to remove cellulite. This is another $4 billion market, with 38 million Americans (mostly women) who are likely candidates for cellulite removal. In clinical trials, 92% of participants said cellulite improved after treatment with Soliton’s RAP.

The device is approved for both indications and will launch in the second quarter.

This is a microcap stock that is heavily shorted. More than 17% of the float is sold short. That means if the stock gets moving, we could see the shorts buying back shares to avoid losing more money. That increased demand for the stock is known as a short squeeze and can make stocks surge.

Catalysts

The launch of Resonic in the second quarter (which starts next week) and any news about sales, orders or acceptance could move the stock.

Only three analysts cover the stock, so after Resonic launches we could see additional Wall Street coverage that could push the stock higher.

And, of course, the short squeeze. If Soliton shares get moving, it could become a self-fulfilling prophecy as short sellers who can’t take any more pain cover their positions.

Lightning Strike

The stock looks like it’s about to take off. It is in a bull flag pattern that is characterized by a quick move up, followed by a consolidation period. Once it breaks from that consolidation pattern, it typically moves sharply higher.

I suspect we’ll see Soliton above $20 in the very near future and likely higher after that.

Action to Take: Buy Soliton (Nasdaq: SOLY) between the bid and the ask, for $17.50 or lower. DO NOT BUY AT THE MARKET even if it’s trading below $17.50. This is a small stock, so it could move quickly. Don’t chase it. If it is trading above $17.50, wait for it to come back down. Place a stop 25% below your entry price.

There are currently no options available.

No. 2: Aldeyra Therapeutics

This recommendation has a deep pipeline for a small cap company ($592 million market cap). Its upcoming catalysts involve medicines for ocular conditions.

Aldeyra Therapeutics’ (Nasdaq: ALDX) reproxalap is in Phase 3 trials for allergic conjunctivitis and dry eye disease.

In the U.S., 100 million people have allergic conjunctivitis with 30 million not responding adequately to topical antihistamine treatments, which is the standard of care.

Additionally, 34 million Americans have dry eye disease with a large overlap between the two conditions. Antihistamines make dryness worse, so that’s not an option for those patients.

In dry eye disease, reproxalap works much quicker than existing therapies, which can take weeks and only have moderate benefits.

The drug showed strong results in both indications in Phase 2 trials with an excellent safety profile. If reproxalap is approved, it should be a blockbuster, which means $1 billion in annual sales.

Aldeyra has a solid pipeline, including ADX-2191 in proliferative vitreoretinopathy, a rare inflammatory disorder in the retina that leads to blindness in more than 50% of patients. Seventy-six percent suffer at least moderate vision loss. There are 20,000 treatable cases in the U.S., Europe and Japan. The drug is currently in Phase 3 studies.

Aldeyra’s pipeline also includes a drug for ovarian cancer, another for psoriasis and an antiviral to treat COVID-19.

The company has plenty of cash, having just raised $74 million in January.

Catalysts

Aldeyra is expected to release Phase 3 data in allergic conjunctivitis in the first half of the year and Phase 3 data in dry eye disease by the end of the year.

It is also expected to receive orphan drug status for ADX-2191 by the end of June.

Lightning Strike

Aldeyra looks like it’s about to take off.

It is breaking out of a bull flag pattern, which is one of the most reliable bullish patterns.

Should the stock get above $13, it will likely go to $20. And if the Phase 3 data is positive, it could go even further.

Action to Take: Buy Aldeyra Therapeutics (Nasdaq: ALDX) for $14.50 or lower, between the bid and the ask. Place a stop 25% below your entry price. If the stock is above $14.50, DON’T CHASE IT. Wait for it to come back down.

Speculators can consider the June $15 calls for $3.90 or lower. Be sure to get filled between the bid and the ask even if the ask is below $3.90. DO NOT BUY AT THE MARKET.

No. 3: GoPro

Shortly after GoPro’s (Nasdaq: GPRO) initial public offering, the stock traded as high as $98 back in 2014. Today, it’s barely above $10.

The stock was punished earlier in the year on weak fourth quarter earnings. It’s not surprising that the company wasn’t selling a lot of cameras, considering we were in the throes of the worst of the pandemic.

In the first quarter, people started getting out and doing things again, and I expect that when the company reports quarterly results on Thursday, May 6, it will surprise a lot of people.

Wall Street hates GoPro. Only six analysts cover it, and of those, just one rates it a “Buy.” So there is a lot of negative sentiment already in the stock. Additionally, 12% of the float is sold short. That means there are a lot of shorts that will have to buy shares in order to avoid losses if the stock starts to rise.

My contrarian training taught me to love stocks that analysts hate and that have more than 10% of their float shorted.

Why do I expect an earnings beat? GoPro has been shifting its business model, and no one seems to be paying attention.

The company is increasingly selling directly to consumers. In the fourth quarter, 33% of its revenue came from orders placed on its website (versus through retailers). That’s nearly three times the 12% figure a year ago.

Additionally, GoPro has a subscription service for storing and editing videos that costs just $50 per year. As of the end of 2020, it had three-quarters of a million subscribers, more than doubling the year-ago period.

I expect both of those numbers to have grown in the first quarter and continue to grow strongly in the second quarter, as people are leaving their lockdowns. That could lead to raised guidance.

Wall Street expects a breakeven first quarter on $186.7 million in revenue. If the company offers guidance, the current consensus estimates are earnings per share (EPS) of $0.04 on $226.9 million in sales in the second quarter and $0.59 in EPS on $1.09 billion in revenue for all of 2021.

Its financials are in excellent shape. It has more cash than debt and last year generated $89 million in free cash flow.

Catalyst

The catalyst is the earnings release next Thursday afternoon. I expect the company to beat expectations and raise guidance. With the stock so hated, it should push it strongly higher.

Lightning Strike

The stock has struggled since March, but the $11 area has been a meaningful level of resistance, where the stock was unable to break through, and then became strong support. Additionally, the 50-day moving average (the thin blue line) is close to the current stock price. It previously acted as resistance and should be another support line as well.

Let’s get into this stock before earnings and take advantage of Wall Street’s lack of interest. I suspect analysts will change their stories after May 6.

Action to Take: Buy GoPro (Nasdaq: GPRO) for $11.50 or lower. Place a stop 25% below your entry price.

Speculators can consider the June $11 calls for $1.60 or lower. Be sure to get filled between the bid and the ask, even if the ask is lower than $1.60.

Now, there are always risks to investing. I never recommend you bet the farm on these trades…

But put simply, a single Lightning Strike can bring a stock to life faster than anything else… meaning you see the fastest results for your money.

With my Lightning Strike strategy, there’s no waiting around for years for something to happen.

Each of the stocks above have one or more catalysts directly ahead. I’ve pinpointed when a Lightning Strike event could hit the stock and send it soaring higher.

All you need to do is buy before the potential Lightning Strike hits… And with each of the stocks above… you won’t have to wait long!

Thanks for joining Lightning Trend Trader.

Note from Marc: Currently, these are the only three recommendations in the portfolio. I will be adding more in the near future.