Lockdowns Over, Stock Market Will Go Wild

By Nick Guarino | May 31, 2021


As usual the Wall Street Pundits have got it wrong. Like mistaking reflation for inflation… Or my favorite MYTH they are trying to peddle: The FED will start the dreaded taper, no longer buying 150 billion a month in securities and will soon raise rates. That is NOT going to happen for at least 2 years in the future. Don’t bet against the FED. They have made it clear they will keep filling the punch bowl until everyone is working and all business is back.

Another silly worry is supply chain shortages causing inflation that will soon result in runaway inflation. As soon as production gears up the supply chain will fill up and prices will drop.

Do Not Mistake Reflation for Inflation

The TEMPORARY price increases you are seeing is reflation. Everyone shut down because of the Plague induced depression. The supply chain collapsed. Inventories were allowed to sell down. Business economists got it wrong. Love Trump or hate him you’ve got to give him credit. By throwing 10 billion dollars at the drug companies they did the impossible. They came up with and supplied 1 billion doses of working vaccines within a year. And stopped the pandemic dead in its tracks.

You need to understand Wall Street and Big corporations pulled in their horns figuring we would be in lockdown for years waiting for a working vaccine. Why would you maintain inventories or build inventories during a depression induced by a plague? Car companies canceled chip orders figuring people locked at home would not be buying cars. Restaurants shut down and canceled food and equipment orders. Hotels shut down rooms, closed the pools and shuttered in their restaurants and bars. The airlines and cruise industry sent workers home. Canceled flights and furrowed crews. Mothballed airplanes and cruise ships.

The shut downs affected everyone. Farmers paired down the flocks of chickens. No restaurants no steaks so cattle herds were also pared down. The entire economy sucked shut.


The suits never in their wildest dreams ever anticipated the economy roaring back to life so quickly. Now the scramble is on for supplies.

From Lumber to computer chips. To chicken wings and steaks. Even nails, gypsum board to build with, demand is soaring for everything in sight. It’s called a reflation.

In the scramble to get scarce supplies everyone is trying to meet the surprise demand and as to be expected prices are temporarily increasing.

It’s called a reflation… Do not make the mistake of confusing these temporary supply chain price increases with an inflation. In a reflation prices increase TEMPORARILY as everyone scrambles to fill up the supply pipeline. This is a TEMPORARY situation. Once restocking is over prices will come right back down again.

WHY? People are going back to work and manufacturing is restarting again. The saw mills will turn back on. Chips will be supplied in mass by the semiconductor manufacturers. Farmers will build back their flocks and herds.

As soon as everyone gears up and goes back to work the supply lines and warehouses will fill up and prices will come right back down again. A reflation is a temporary phenomenon, not the permanent price increases we seen in an inflation.

It’s pretty simple, you gear up production as you see demand returning… And that is exactly what is happening. Let me let you in on a little secret. As the captives are set free to travel, eat out, shop and party, the economy will soar to the moon. The biggest increases in economic activity and GDP in U.S. history. Corporate profits will increase to historic levels.

Stock Market to ZOOM and Make Instant Millionaires
Biggest Economic Growth Since the End of World War II Will Drive Corporate Profits to the Moon

These 4 words END OF THE PANDEMIC have the power to give you the life of your dreams. IF you understand what they mean and have the wisdom and know how to use the power that knowledge of the future gives you and take advantage of the coming stock market boom.

Most people are sleeping and you can’t blame them, A global plague is a once in a hundred year event. During the great plagues of the past there were no vaccines. So there is no modern economic model for what’s about to happen.

What has caught the markets by surprise was the fact a plague that was expected to last years is over in less than 2 years. Nothing has ever been seen like this before, a 2 year plague, Two years from start to mass vaccinations that work… Incredible. Wall Street economic models do not know how to price this in.


There is another part of this… STIMULATION means everyone has cash to burn. The U.S. savings rate is the highest ever. There are only so many pizzas, take away box dinners and exercise equipment you can buy when you are under lockdown. There is 7 trillion dollars cash in the hands of the banks, brokers and individuals that has not been deployed.

Remember Wall Streeters are pack animals. They have not arrived at a consensus yet. They still do not get it. They have not yet processed the fact that the biggest economic boom has started.

The money parked on the sidelines is burning a hole in their pockets. That will soon change. They are under enormous pressure to invest these funds. In individual trading accounts there is over 1.5 trillion in cash to be invested. Wall Street investment funds, retirement funds and hedge funds are sitting on an additional 3 trillion dollars. And private equities have 1.5 trillion to invest. And there is only one place to go. The stock market!


That means there is still time for you to get there first. Here is the secret. As the captives are set free people are going to go hog wild. Buying and spending money on everything in sight. Remember they got a pile of stimulus check cash. You can see they are flush with cash in the housing boom. Cars and pickup trucks are flying out of dealer showrooms. But it’s not just big ticket items. People are booking flights and vacations like never seen before. Memorial Day weekend was like the good old days. With people driving and flying again. Making reservations at expensive restaurants, going to the movies. Even the Indy 500 was back with full capacity crowds. They are shopping and buying clothing, for example getting all gussied up to go back to the office. No need to invest in designer jeans when you’re stuck home in drawstring yoga pants. By Fall with the kids back in school they will be going back to work.

Which means corporate profits are about to soar. The stock market has not begun to price in the explosive growth. Already U.S. GDP is over 6 %, numbers not seen in decades. Corporate profits are up 30, 40 even 50%. And stock markets have not even come close to valuing in the coming corporate bonanza.

If we project forward the economic growth and apply the increase in cooperate profits we see a BIG stock market rally going to the moon. If we take the average P/E ratio of the last ten years and apply the coming boom in corporate profits that gives us a projected NASDAQ 100 at 18,000. That calculates to a 4,000 point in the END OF THE PANDEMIC rally for the NASDAQ 100.

How to turn every: $30,000 into $150,000
$3,000 into $ 15,000
$1,000 into $ 2,000

NAS100 Mini: Trade a $30,000 account. Which tracks the NASDAQ100. Margin is around $20,000 per position. Add another position every 1,000 points higher. So the trade looks like this. First position around 13,700. Add another position at 14,700 and another at 15,700. And take profits at 16,700. Your average price will be 14,700. If you take profits at 16,700 you could make $120,000.

NAS100 Micro Mini: Trade a $3,000 account. Margin is around $2,000 per position. Add another position every 1,000 points higher. So the trade looks like this. First position around 13,700. Add another position at 14,700 and another at 15,700. And take profits at 16,700. Your average price will be 14,700. If you take profits at 16,700 you could make $12,000.

FNGU: Trade a $1,000 account and buy 30 shares of the FNGU that offers 3x leveraged exposure to an index of FANG companies (Facebook, Apple, Amazon, Netflix, and Google [Alphabet Inc.]) and other companies that exhibit similar characteristics. It’s currently trading around $30 a share. For every upward move of 1,000 points of the NASDAQ 100 index you could make $7.00 per share. If we get lucky and the NASDAQ soars 4,000 points… You could DOUBLE your money. Not bad for a no brainier extremely low risk trade.

Now let’s say we only get half the move I expect and the NASDAQ only goes up 2,000 points. You still make $60,000 in the mini trade, $6,000 in the Micro Mini and $14.00 per share in the FNGU.

For grins let’s take my worst case scenario. The NASDAQ only goes up 1,000 points, a little over this year’s high in May. You still could make $20,000 in the Mini. $2,000 in the micro and $7.00 per share in the FANG

Now let’s take my best case scenario. We get the biggest stock market rally ever that I am sure in my opinion is a slam dunk. After all it is the Roaring Twenties again right after a pandemic. If you leverage the trades I gave you above as we see the rally I am predicting unfold. Well let me put it this way. It could be a multi- million dollar trade. As you know I have had these before. Could we be guessing lucky again??? Well you decide.

If you have any questions or need my help in these trades call Jim at: Toll Free 866-924-0607 Overseas Subscribers call 1-913-871-0701 or SKYPE Handle: jrounder39 AND WHILE YOU ARE AT IT ASK HIM TO TELL YOU THE SECRET OF HOW YOU CAN TRADE WITH A $3,000 MARGIN INSTEAD OF $20,000 ON THE NASDAQ 100 MINI.

I wish you all the best.



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