Winners and Losers in the COVID Market - TradeZero America's Pipitone

The global coronavirus pandemic has caused volatility in many aspects of our everyday lives. However, the volatility seen in the market is creating opportunities for traders on both the long and short side. Since the President's proclamation limiting travel to the US on January 31st, the DOW dropped over 9,500 points to 18,500 in March and has climbed back over the 25,000 mark near the end of May. TradeZero America, an online commission-free broker dealer, has seen trading volume on its platform increase 200%. And according to the site, short selling is up 180%.

The company’s co-founder, Dan Pipitone, believes that it will be a traders market for the next six months. “The volatility has been the driver of the increased attention to the markets“ according to Pipitone. “The coronavirus and the extreme volatility in the market have created opportunities for investors and traders on both the long and short side.” He says that the market conditions are bi-directional, with COVID-19 creating both winners and losers. The market has also seen a shift demographically with more millennials choosing to short stocks.

Pipitone has taken notice of some of the market winners and losers throughout the crisis. He says that “investors should look at emerging biotechs, as well as big pharma.” A few of the stocks Pipitone has noticed making waves on both the long and short include: Novavax (NASDAQ: NVAX), Moderna (NASDAQ: MRNA) and Inovio Pharmaceuticals (NASDAQ: INO). Some ​smaller caps such as Sorrento Therapeutics (NASDAQ: SRNE) and vTV Therapeutics (NASDAQ: VTVT) have been seeing movement as well.

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