Secrets About the Stock Market
By Space Coast Daily // December 17, 2020
Some people shudder when you bring up the stock market. They find it to be a bunch of numbers and trading strategies they don’t understand. Even the majority of those who try their hands at the trading game do poorly.
That’s usually because they’re trading too much. Another reason is that they’re overanalyzing. The real secret to winning in the stock market is to invest in companies that are seeing strong momentum for logical reasons.
The COVID-19 Impact
Some stocks are outperforming others and the companies covered below are seeing significant upward momentum in their stock prices. In many cases, a big reason for that upward momentum is that consumers haven’t been out and about as much in the past, which has changed their habits.
This change in habits has benefited some companies more than others. If you want a good shot at winning, all you have to do is go with the flow and you can sit back and enjoy the fruits of your labor with an improved portfolio during the US stock market holidays. Now let’s take a look at the companies that have been winning as well as why.
You have likely heard about Etsy, but that doesn’t mean you know what it’s all about. Imagine a craft fair online. Now imagine a craft fair online where sellers have their own personal storefront and can list goods for a fee of $0.20 per item.
That’s Etsy in a nutshell. An important note is that all goods must be handmade or vintage. In order for an item to qualify as vintage, it must be at least 20 years old. Items sold include jewelry, furniture, toys, home décor, tools, bags, and more.
Etsy is now the biggest craft fair in the world. With COVID-19 leading to consumers spending more time at home and shopping online, it’s obvious why Etsy has been one of the best-performing stocks in the entire market in 2020.
You also have to look at the seller side. Many people have been struggling to make ends meet after being laid off. If they have the skills to create handmade crafts, Etsy gives them an opportunity to generate some income.
PayPal Holdings Inc.
The economy was already moving online prior to COVID-19. When the pandemic hit, it had an even bigger impact. Many people who buy and sell goods and/or services online use PayPal for their transactions. Every time a business transaction is made, PayPal collets 2.9% + $0.30.
That might not sound like a lot, but PayPal sees more than 5 million business transactions per day. This trend should continue into the foreseeable future. However, nothing is a lock, and that could be the case here with a lot of competition coming from other e-wallet companies.
Amazon & FedEx
These two companies have delivered in a big way for investors in 2020. What many investors might not realize is that this is the first time they will both operate during a holiday season during a pandemic.
This doesn’t mean their stock prices will soar, but it does mean that their businesses are extremely likely to see increases in revenue.