{"id":24201,"date":"2025-06-05T07:30:00","date_gmt":"2025-06-05T11:30:00","guid":{"rendered":"https:\/\/jeffclarktrader.com\/market-minute\/?p=24201"},"modified":"2025-08-22T09:07:36","modified_gmt":"2025-08-22T13:07:36","slug":"dont-fear-chaotic-markets-profit-from-them","status":"publish","type":"post","link":"https:\/\/jeffclarktrader.com\/market-minute\/dont-fear-chaotic-markets-profit-from-them\/","title":{"rendered":"Don’t Fear Chaotic Markets \u2013 Profit From Them"},"content":{"rendered":"

If you\u2019re a buy-and-hold investor, this year has been a wash.<\/p>\n

On Inauguration Day, January 20, the S&P 500 was trading near 5960 points.<\/p>\n

This past Monday, it closed at 5935 points.<\/p>\n

So, if you\u2019ve just been buying stocks and holding onto them, you haven\u2019t made any money.<\/p>\n

But it gets worse for the buy-and-hold crowd.<\/p>\n

This year has also been highly volatile, with stocks swinging up and down dramatically.<\/p>\n

And volatility went into overdrive after President Trump\u2019s April 2 \u201cLiberation Day\u201d tariff news.<\/p>\n

In April, the S&P 500 plunged 11% in only two days.<\/p>\n

That wiped out $6.6 trillion in stock market value. A couple days later, we got a one-day rally of 9%.<\/p>\n

This sent Wall Street\u2019s \u201cfear gauge,\u201d the VIX, to a five-year high.<\/p>\n

The last time there was this much fear in the markets was during the early days of COVID and the global lockdown.<\/p>\n

That\u2019s the story that you already know. But here\u2019s what most folks don\u2019t understand\u2026<\/p>\n

If you know how to trade that volatility you can make big gains even while stocks are falling.<\/em><\/p>\n

I don\u2019t make that claim lightly. I have the track record to back it up.<\/p>\n

Since Liberation Day, I\u2019ve closed 19 winning trades out of 25 recommendations.<\/p>\n

Three for triple-digit gains and 15 for double-digit gains. Many in as little as a week. Some in as little as one trading day.<\/p>\n

And I haven\u2019t just profited from volatility in 2025. I\u2019ve harvested profits like these in some of the most volatile markets in living memory.<\/p>\n

In the wake of the 2008 market meltdown, I recommended trades to my subscribers that led to 100% gains 10 different times.<\/p>\n

And in 2022, when the tech-heavy Nasdaq plunged 32%, I gave my subscribers 12 different opportunities to double their money.<\/p>\n

How did I do it? And how can you do it next time volatility strikes?<\/p>\n

I\u2019ll show you today. Plus, I\u2019ll do my best to convince you we\u2019re in for more extreme volatility in the months and years ahead.<\/p>\n

The Stock Market Is Like a Rubber Band<\/h2>\n

So, how have I been able to make profits amid surging volatility?<\/p>\n

To understand how it works, imagine a rubber band.<\/p>\n

We can all tell when a rubber band has been stretched close to the limit. The rubber at the center of the band stretches thin. Its color fades. And it starts to vibrate.<\/p>\n

That\u2019s when it snaps back.<\/p>\n

The same thing happens with stocks\u2026 and even stock market indexes like the S&P 500 and the Nasdaq. The further they stretch in one direction, the more likely they are to snap back.<\/p>\n

I call these extreme stretching of stocks outside of their average ranges a \u201cchaos pattern.\u201d Because we tend to see these overstretched conditions happen the most when the stock market is going through a chaotic period like we saw after Liberation Day.<\/p>\n

As a trader, I wait until a stock or stock market index gets stretched to an extreme. Then I bet on it snapping back.<\/p>\n

Let me give you an example of a \u201cchaos pattern\u201d trade I recommended to my subscribers\u2026<\/p>\n

Trading Chaos<\/h2>\n

In November 2023, I spotted a chaos pattern in Beyond (BYON), which owns the failed brand Bed Bath & Beyond.<\/p>\n

The stock spent the previous three months in a free fall. It plummeted from nearly $38 a share in August to about $16 a share.<\/p>\n

In other words, Beyond was completely out of its normal range.<\/p>\n

You\u2019ll notice how the stock\u2019s price line was way below its 50-day moving average trendline (blue line) over that time.<\/p>\n\n\n

\"\"<\/figure>\n\n\n

It was clear to me the stock was oversold and ready to snap higher.<\/p>\n

On November 21, I instructed readers to place a bullish trade on Beyond.<\/p>\n

Two weeks later, the stock was up 40%. And due to how I structured that trade, my subscribers had the chance to close out a 329% gain in just 14 days.<\/p>\n

I\u2019ve used this same approach to give my subscribers the chance to make\u2026<\/p>\n