During a market correction, most people start to panic.
They worry that a small pullback will turn into a full-fledged crash – wiping out years of savings and accumulated gains. After the crash of 2008 and 2009, that’s a reasonable concern.
Yet it’s usually a huge mistake to cash out of stocks at the first sign of weakness.
Market volatility can actually create a huge profit opportunity. In fact, this strategy delivered 363.3% profits during the last stock market correction!
How to Make Money During a Stock Market Correction
Typically, a stock market correction happens every year.
However, it’s been nearly two years since we’ve had a 5% pullback. And the last stock market correction – defined as a 10% – 20% drop from the peak – was in August 2015.
Let’s quickly take a look at what happened then… and how you can use one simple lesson to make money in this market right now.
Here’s a chart of the Dow Jones Industrial Average. You’ll see the market plunges over 13% in August.
While the Dow was crashing – along with the S&P 500 and NASDAQ Composite – one investment was rising.
It’s something called the Volatility Index – known by traders as the “VIX.” The VIX simply measures the volatility of the market. And it’s also known as the “fear index.”
What is volatility? It’s a way to measure the extent of price movement.
If stocks trade in a narrow range and are constantly rising, volatility is low.
When stock prices fall dramatically – or have wild swings over a short period of time – volatility is high.
When the market dropped 13% in a period of just two months, guess what happened to volatility? It jumped higher, as seen in the following chart of the Volatility Index (VIX).
It’s scary when the market drops quickly.
Yet this volatility is PERFECT if you know how to trade these simple strategies.
Back in 2015, Andy made a series of trades to profit from increased volatility.
The result: 363.6% profits – with just two trades per month.
This same market setup is happening right now. And tomorrow, he’s going to show you exactly how to profit from the market volatility.
Volatility Jumps 177%: My February Trading Strategy
Monday’s 1,175-point jaw-dropping decline for the Dow Jones Industrial Average scared a lot of investors.
That volatility continued during yesterday’s volatile trading session, with the Dow down as much as 8.9% from its late January peak.
As you’ll see in the following chart, this price action sent the VIX surging 177% in just two trading sessions.
This volatility will SCARE 97% of investors.
Yet investors who know how to trade are cashing in – WITHOUT doing anything risky like “short selling.”
My colleague – Andy Crowder – just told me that he’s been closing out these WINNING TRADES within the last week:
- 7% on Feb. 5
- 6% on Feb. 5
- 25% on Feb. 1
- 7% on Feb. 6
- 1% on Feb. 5
The big lesson is simple: In this market, your typical “BUY & HOLD” strategy is NOT going to work.
That means you have two choices.
Option #1: Continue holding stocks and ETFs, losing sleep at night, and worrying about the day-to-day fluctuations in price.
Option #2: Start using simple trading strategies to profit from the fear that exists in this market.
Tomorrow, Andy is going to reveal his top five strategies for profiting from this volatile market. Typically, we’d charge at least $1,000 for this type of master class training.
But due to all the concerned calls and emails that we’re getting, we’ve decided to open this up to everyone.
Tomorrow, it’ll be 100% FREE for the first 1,000 people to RSVP.
Go here ASAP to secure your spot. We will be completely full – so please don’t wait.