IFB178: How To Trade Vaccine Volatility

After huge swings gripped the stock market on the announcement of the effectiveness of Pfizer’s vaccine, investors saw certain stocks soar while other stocks (like those with the WFH theme) popped like a defused balloon. In this episode, Dave and Andrew discuss the mindset needed to invest during a time of great market volatility. A few key concepts include: * How the market prices on the future rather than the past* The interesting behavior of today’s frothy market* Why the margin of safety in relation to price paid is so important For more insight like this into investing and stock selection for beginners, visit stockmarketpdf.com. SUBSCRIBE TO THE SHOW Apple | Spotify | Google | Stitcher | Tunein TRANSCRIPT Announcer (00:02): “I love this podcast because it crushes your dreams and getting rich quick.” “They got me into reading stats for anything.” You’re tuned in to the Investing for Beginners podcast, led by Andrew Sather and Dave Ahern. Step-By-Step premium investing guide for beginners. Your path to financial freedom starts now. Dave (00:32): All right, folks, we’ll welcome you to the Investing for Beginners podcast. This is episode 178 tonight. Andrew and I are going to talk about a new, interesting subject. We’re going to talk about how to trade the vaccine of volatility. Last week, early in the week, on Monday, we had some great news. We had a vaccine announced from Pfizer that could help with COVID. And because of that, the markets went nuts. And I think there was a huge, I guess, lack of a better word, euphoria surrounding the markets, and probably me personally, and everything felt great. So there was a lot of volatility that week, though. So Andrew and I wanted to talk a little bit about how you could work some of that to your magic. So I’m going to turn it over to my friend, Andrew, and we’re going to go ahead and have a conversation. Andrew (