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How Bullish Traders Doubled Their Money With Robinhood Calls

Our Options Advisor subscribers scored a 100% profit in less than three weeks

Deputy Editor
Jun 12, 2024 at 2:17 PM
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Subscribers to our monthly Option Advisor service doubled their money with our Robinhood Markets Inc (NASDAQ:HOOD) August 18 call recommendation, made on May 24. Below, we'll breakdown the reasons for our bullish recommendation, as well as what caused the spike in price. 

At the time, shares of the stock trading platform had just broke out above the $19 level, which is half its initial public offering (IPO) price and coincides with a 50% year-to-date gain. A retest of that level presented a good entry point for a long position on HOOD.

There was also potential for the stock to breakout from a cup-and-handle pattern after it pulled back to its 10-day moving average. In the time since our recommendation, multiple catalysts helped Robinhood stock bounce higher on the charts.

For one, the firm unveiled a maiden stock buyback plan of $1 billion. The company then introduced a crypto trading API, and announced its $200 million cash acquisition of global crypto exchange Bitstamp. 

These catalysts helped HOOD extend its one-month gain to 42.5%. What's more, the security's year-to-date lead jumped to 89.1%. A reignited interest in meme stocks -- kicked off by GameStop's (GME) surge -- is today helping Robinhood stock trade at level not seen since its pandemic highs. The security was last seen up 3.6% at $24.06 for its highest mark since the end of 2021, allowing our subscribers to collect their 100% gain.

HOOD Chart 2 June 122024

 

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That includes Nvidia, the poster boy of AI.

Its stock has skyrocketed 716% since ChatGPT’s debut. But here’s the thing …

While everyone’s still counting their money from this first AI boom … Nvidia and countless others have moved on to the next stage.

That includes Big Tech, which is currently making a series of peculiar investments in a few strange companies. This has nothing to do with tech. At least on the surface …

Yet, these strange investments could be the early ripples of a massive wave …Without them, ChatGPT could stop operating … Amazon, Google, Microsoft and more could see profits drop drastically.

In fact, Elon Musk says these investments are critical when it comes to solving the number one problem facing AI.

Now, Silicon Valley legend Michael Robinson has identified two companies that could play a significant role in the solution.

Their stocks just may be the key to AI 2.0.

Find out more about these two companies today.
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