Markets took a bit of a hit this week on the heels of the news that Fitch Ratings has downgraded the credit rating of the United States. But it's going to take more than that to put a damper on this leg of the new bull market, especially with earnings season still in full swing.
Over 150 S&P 500 companies are reporting this week, so there's a lot to sift through, but what's really going to influence the direction of the market is what happens at the close, when Apple Inc (APPL) and Amazon.com Inc (AMZN) both report. If they surprise to the upside, I could easily see the market picking itself back up and moving higher.
If they disappoint, the first leg of the bull market will likely be over, and we'll find ourselves heading for a dip. But if you've been following me for long enough, you know I consider that more of an opportunity than a problem. As in, now's the time to look for opportunities among the top post-earnings movers that we might be able to get at a discount, so we can set ourselves up to prosper in the long term.
And I have to admit, there have been quite a few surprises for me this week. That includes one company I've been down on for a long time that has seen its stock price double this year and absolutely crushed on earnings and profit growth, turning things completely around from the $2.6 billion loss they reported last year.
You can get all the stocks I'm watching, and what to do with them, in this week's Buy This, Not That video:
While there are some good opportunities here to shore up your portfolio, the best profit plays are all in the next big wave of technological development: AI. One component crucial to the future of AI are "SuperChips" - the next generation of sophisticated computer chips that AI applications and devices will need to run.
Right now, two global superpowers - the U.S. and China - are locked in a conflict over the ability to both design and manufacture these chips, and it's driving incredibly high demand in all the industries touched by it, from semiconductor manufacturing to rare earth mining.
This tech battle will remake the global economy and send a handful of stocks most investors have never heard of skyrocketing. And all you have to do in order to take advantage of it is to check out my full investing guide right here.
The post Why You Should Buy This Earnings Season's "Comeback King" appeared first on Total Wealth.
About the Author
Shah Gilani boasts a financial pedigree unlike any other. He ran his first hedge fund in 1982 from his seat on the floor of the Chicago Board of Options Exchange. When options on the Standard & Poor's 100 began trading on March 11, 1983, Shah worked in "the pit" as a market maker.
The work he did laid the foundation for what would later become the VIX - to this day one of the most widely used indicators worldwide. After leaving Chicago to run the futures and options division of the British banking giant Lloyd's TSB, Shah moved up to Roosevelt & Cross Inc., an old-line New York boutique firm. There he originated and ran a packaged fixed-income trading desk, and established that company's "listed" and OTC trading desks.
Shah founded a second hedge fund in 1999, which he ran until 2003.
Shah's vast network of contacts includes the biggest players on Wall Street and in international finance. These contacts give him the real story - when others only get what the investment banks want them to see.
Today, as editor of Hyperdrive Portfolio, Shah presents his legion of subscribers with massive profit opportunities that result from paradigm shifts in the way we work, play, and live.
Shah is a frequent guest on CNBC, Forbes, and MarketWatch, and you can catch him every week on Fox Business's Varney & Co.