• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • TheStreet Smarts
  1. Home
  2. / Investing
  3. / Stocks

There Are Still SPAC Opportunities Amid the Speculative Wreckage

Here's what's on my radar.
By JAMES "REV SHARK" DEPORRE
Mar 26, 2021 | 12:00 PM EDT
Stocks quotes in this article: QQQ, ROCC, GWAC, NPA, SFTW

Trading action is slow Friday as market players look ahead to the weekend after some stressful action. It has been very chaotic recently, but the action is much slower and calmer today as we prepare for the end of the quarter and what lies ahead.

The overall tone of the action is quite good, with breadth running around 5,700 gainers to 2,000 decliners, but momentum is sedate. While there are around 175 new 12-month highs, pockets of momentum are limited. There isn't any major rotation taking place, although bonds are weaker. The big move out of Nasdaq 100 (QQQ) and FATMAAN names appears to have slowed.

The biggest challenge now is that speculative stock-picking collapsed as small-caps sold off in tandem due to rotation and rebalancing. That has now simmered, and we are starting to see the stock-picking pick up again, but it is tentative, and we'll see how much appetite there is for buying in front of the weekend.

It is impossible to know if the recent corrective action has run its course, but there are many stocks that have been pummelled already and are groping to find support. They may not have immediate upside, but there probably isn't much additional downside in the near term.

One group that offers some interesting opportunities right now is SPACs. The group has been declared dead by some pundits due to the huge supply of IPOs that have been filed in the last few months. While many of these deals are never even going to be priced, there still are some opportunities with very limited risk as the stocks are trading close to redemption levels. Two SPACs that are on my radar right now that I will discuss more in the future are Roth CH Acquisition II (ROCC)  , which is a possible play on NFTs, and Good Works Acquisition Corp. (GWAC) , which is a play on bitcoin.

SPACs that are "space" related are also of interest in front of the upcoming ARK Space ETF that could start trading as early as next week. An example of a couple of names there are New Providence Acquisition (NPA) and Osprey Technology Acquisition Corp.  (SFTW) .

The trading action is slowing further as we hit midday, and it is starting to look like the appetite for additional accumulation is slowing. This has been one of the most challenging trading weeks of the year, so it isn't too surprising if many folks plan to exit early.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

At the time of publication, Rev Shark was long ROCC, GWAC, NPA and SFTW.

TAGS: Investing | Markets | Small Cap | Stocks | Trading

More from Stocks

Doug Kass: It Is Time to Take Aim Against the Growing Bullish Sentiment

Doug Kass
Jun 10, 2023 1:49 PM EDT

Just as it was in rejecting the overwhelming negativity in late 2022...

Predicting Market Moves Is a Losing Bet. Here's What Works

James "Rev Shark" DePorre
Jun 10, 2023 10:00 AM EDT

Let's look at what separates great trading from bad.

FS Insight Weekly Roadmap

Tom Lee and the FSI Team
Jun 10, 2023 8:00 AM EDT

Stocks Officially Enter New Bull Market

Bulls Might Be Smiling, but They Should Also Be Guarded

James "Rev Shark" DePorre
Jun 9, 2023 4:17 PM EDT

This week was good for the bulls, but we have no promises the action will continue, and narrow market still haven't left us.

LD Micro Offers Lots of Big Opportunities

Jim Collins
Jun 9, 2023 1:40 PM EDT

Fresh off my trip to Los Angeles, I'm psyched about what's happening in the microcap names.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 11:45 AM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    Bulls, Bears, and Market Predictions
  • 11:31 AM EDT CHRIS VERSACE

    We're Adding to a Position on Weakness

    Check out what's going on in the Action Alerts PLU...
  • 07:19 PM EDT CHRIS VERSACE

    AAP Podcast: This Company Is Not Going 'Solo'

    Listen in as I talk with the very diversified Solo...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2023 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login