Two Ways to Hedge Against Inflation (Hint: Neither Are Gold Plays)

After the newest stimulus package, inflation has become a clear and critical risk to the economy, causing everyone to ask about a good market hedge right now.

And many are turning to the most famous safe-haven asset: gold.

But that’s not what investors or traders should be asking. It’s this:

What’s the best hedge for gold in an inflationary market?”

You heard me right. Gold has lost its glimmer.

Gold prices are falling into a bear market pattern we haven’t seen since 1979. This down period lasted until 2000, when gold was in constant decline, dropping from $1,500 down to $390.

Its other bear market was from 1934 to 1970, dropping from $700 to $250 levels.

And while the S&P 500 has rallied 5% year-to-date, SPDR Gold Shares (NYSE: GLD) shares have lost 9% in the same time period.

Signs of inflation are presenting themselves more strongly than they have in recent years. Interest rates’ sudden jump to 1.6% has inflation bulls rattling the market’s nerves, and right now it’s critical that you prepare your wealth for what might unfold.

So, let’s take a look into the past.

Years of data reveal two simple investments that prosper during inflations

New Short Squeeze Data Reveals Three Stocks Ready to Pop

This morning, I received the newest short interest data, and it shows 11 stocks that could begin rallying higher.

I’ve been using this data for over 20 years.

It’s one of my favorite bits of data because it has something that I call an “ambidextrous indicator,” which means that it’s good for a stock in both rising and falling markets. And we can use it to determine which companies we can “squeeze” for fast profits.

Short interest shows us the percentage of shares being shorted. A higher percentage means more people are betting against the stock.

But if it rallies higher, these people will be forced to buy back the stock at elevated levels.

That’s how we can make money using this piece of data.

Today, I want to focus on a list of 11 stocks getting ready to breakout as they complete my three-part checklist as bullish squeeze candidates.

There are a few ways to play a stock that’s about to pop – but the best is with options. Tomorrow, a new super option trade recommendation is being released. Click here for the details.

I’ll also dive deep into my three favorite candidates.

These stocks could give you quick short squeeze profits