This Biotech ETF Will Rise from the Ashes on Feb. 3

2019 was just coming to an end in central China when people began suffering from runny noses, sore throats, and pesky coughs...

But it was the start of winter - flu season, the peak time for the common cold. The symptoms were anything but out of the ordinary.

Now as I'm writing, less than a month later, at least 170 people have died, and the number of people infected has skyrocketed to 7,700 - that's nearly twice as many new infections in just one day. The pneumonia-like virus has spread from mainland China across the world, with cases confirmed in more than a dozen countries - five already in the United States.

Needless to say, the word "coronavirus" is now plastered across every news network.

China has responded to the deadly virus with complete lockdowns across various cities. Major companies like Starbucks, McDonald's, and Disney are shutting down operations across the country as well. But China is one of the biggest producers in the world. And as businesses feel the pain of the outbreak, fear of the virus's impact on global commerce is spreading...

The markets, which were hitting all-time highs all month long, are now seeing red. Monday, Jan. 27, was the worst day for all major indexes since Oct. 8 of last year.

But the widespread fear isn't discriminatory. It's punishing stocks with no relation to the virus' impacts as well.

Without any business in China, these companies will be the first to recover once the fear subsides. And if you get in now, you'll be seeing profits the moment recovery begins.

In fact, this stock is about to rise like a phoenix from the ashes...

How Global Fear Will Push This Biotech ETF to New Heights

Global crises like the one we're seeing right now tend to drive unpredictable volatility. In times like this, patterns are about the only thing in the market you can rely on. In order to find the companies that will recover first from the widespread coronavirus fear, you need to look for stocks that historically rise during this time of the year.

I find these patterns with the help of my powerful, patent-pending tool, the Money Calendar. It crunches through an entire decade of data to find companies that have risen during a particular time frame, and it allowed me to give my readers the opportunity to grab 23 doubles last year. Click here to learn more.

The stocks my Money Calendar found won't just help you fight a bearish correction. They'll also rise once that correction subsides.
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Take the iShares NASDAQ Biotechnology Index (NASDAQ: IBB), for example. This exchange-traded fund (ETF) attempts to track the results of the Nasdaq Biotechnology Index, and it has risen an average of $8.10 over 27 days for the past 10 years.

In the table below, you can see the individual 27-day results:

This isn't the first time the Money Calendar has shown me a profitable trade on IBB. Last year, on June 24, 2019, we received a similar one...

So, I recommended my Money Calendar Pro readers buy a call. At the time, the ETF was trading around $107. For 100 shares, this would have run us $10,700 - a price that's way over my $500 limit. That's exactly why we bought a call instead, paying just $2.08, or $208 for control over 100 shares.

The Money Calendar predicted that IBB would rise - and that's exactly what it did. On July 1, just one week later, the ETF hit $110. It was a $3 increase, just over 0.02%, and it handed my readers a 50% gain.

That summer success occurred on a pattern with 90% accuracy. This time around, we're looking at 100%. IBB has risen over this 27-day time period for the past 10 years. That means the odds are heavily in favor of a profit on this pharmaceutical ETF.

IBB may have been punished during the coronavirus-inspired correction. But biotechnology is one of the hottest sectors right now, and with its limited exposure to China, it'll rise just like a phoenix the moment the fear settles to ashes.

To cash in on the recovery, simply buy the stock on the start of the pattern - Feb. 3, 2020 - as shown in the chart above. If you want to increase your return with options, buy 30-day out-of-the-money calls instead. Then, hold the stock or option for the following 27 days, and watch your account rise right along with IBB.

Now, this profit potential would be nearly impossible to access if it weren't for the Money Calendar. This powerful prediction tool helps me analyze hard-data market trends in a way that no one else can, identifying potentially lucrative patterns that no one else can see.

And this system's predictive, moneymaking power is like nothing I've ever seen before. It didn't just unearth money-doubling trades last year. It's been handing out profit potential for the past four years...

From 2016 to 2019, my readers have had the chance to double their money 93 times. And this year could be even better...

I'm talking the opportunity to pocket $150,000 in profits in just 12 months.

This cash potential could be yours with just a few clicks of the mouse. Learn more about this opportunity right here.

The post This "Phoenix" ETF Will Rise from the Ashes on February 3 appeared first on Power Profit Trades.

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About the Author

Tom Gentile, options trading specialist for Money Map Press, is widely known as America's No. 1 Pattern Trader thanks to his nearly 30 years of experience spotting lucrative patterns in options trading. Tom has taught over 300,000 traders his option trading secrets in a variety of settings, including seminars and workshops. He's also a bestselling author of eight books and training courses.

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