Because the next big bull market in technology has begun

[Editor’s note: “Why the Next Great Tech Bull Market Has Begun” was previously published in July 2022. It has since been updated to include the most relevant information available.]

The tech sector collapsed this year. So, it’s easy to forget the cardinal rule that sets many bull markets apart: Technology still rules the world.

Here is a little flash news. Tech stocks have entered a brand new bull market that could be the beginning of a massive merger of over 50%.. And some tech games might see a Increase 10 times higher!

The reason for this is deceptively simple.

Tech stocks have been slammed all year round. The industry returned around 30%, while many individual names plummeted 70% or more.

That selloff had nothing to do with fundamentals. Everywhere, people still use technology to do everything. They are all still doing the shopping Amazon (AMZN). They are still watching Netflix (NFLX), purchase Apple (AAPL) products and work with Microsoft (MSFT) Software.

Tech stocks have been squeezed due to this little thing called inflation. Indeed, this became a big deal in 2022, for the first time in 50 years.

And now that big problem is starting to fade away. Yes, the CPI for August was higher than expected. Consumer prices rose 8.3% that month. But they increased by 8.5% in July and 9.1% in June. That trend is still deflationary. And this is bullish.

So are the fundamentals and the technicians. All evidence points to this new bull market being the real deal.

If that’s true, the data says tech stocks will rise 50% over the next 12 months. In fact, dozens of select tech stocks are expected to rise 1,000% or more.

And we found a tech stock that we believe could rise 10x before the end of the year

In other words, investors who buy the best tech stocks today will make a fortune over the next 12 months.

Let’s make sure you’re one of them.

Inflation is dying

Since the end of 2020, inflation has done one thing and one thing only: getting hotter, hotter, hotter. Every. To separate. Month.

That trend finally stopped in July.

Of note, the July report included a number of bullish post-pandemic records for inflation. For the first time, inflation was negative on a monthly basis and rates fell sequentially by more than 50 basis points. Even for the first time, energy prices fell significantly.

Chart that exemplifies inflation

Now, across the board, the August CPI numbers have exceeded expectations. Headline inflation increased by 8.3%, versus 8.1% forecast. Core inflation rose 6.3%, versus 6.0% forecast. Monthly inflation rates also exceeded expectations.

But while it’s scary, it’s VERY important to note that despite the pace, major inflation rates are still falling. That is, the main inflation was 9.1% in June. It fell to 8.5% in July and fell again to 8.3% in August. So while the rate of deceleration slowed last month, disinflation still happened.

We fully expect inflation rates to continue to decelerate over the next 12 months. As they do, tech stocks will rise – and some small tech stocks will go up 10x or more!

The fortunes of the bull market are coming

Indeed, we have been bullish on a new tech bull market for the past couple of months. How come?

The July inflation index was so good that tech stocks were up around 3%. This continued what had been a great rally since mid-June. By definition, this means that tech stocks have officially entered a new bull market.

Of course, that’s just a definition. But it is also very significant.

This technical indicator has successfully predicted the end of every bear market in tech stocks over the past 50 years. except the dot-com crash. And that’s not the dot-com crash, since valuations at the time were about 50% higher than they are today.

To that end, whenever tech stocks rallied 20% from recent lows as they did in the past two months over the past 50 years (excluding 2000-2001), they have soared over the next 12 months.

The average earnings ahead of 12 months? Almost 40%. The 12-month average earnings in the most recent examples of the last 20 years? Almost 50%!

Nasdaq Composite Performance after entering the bull market

In other words, tech stocks launched an ultra-rare “bull market entry” signal in July. And it has a 100% track record (not including the dot-com crash) of predicting big gains from tech stocks over the next year.

The implication of the investment? The odds are very high that tech stocks will rise by around 50% over the next 12 months.

If they do, history also says that potentially dozens of small-cap tech companies will increase by more than 10x.

And one stock in particular has the potential to earn 10x more earnings in the next month alone …

The last word

Many investors think money is made in bull markets.

It’s true. Money is made in bull markets. But fortunes are made in bear-to-bear market transitions.

During those times, investors have the opportunity to earn a decade’s return in just one year. They have the opportunity to see their investments rise 5x, 6x, even 10x in value in 12 months or less.

It is a once in a lifetime investment opportunity. It’s happening right now. And all investors need to do to capitalize on it is buy the right tech stocks today.

We have spent the past few months scanning the market for the tech stocks with the highest upside potential in this bear-to-bear market transition.

Ultimately, our research led us to a stock being the only best buy on the market right now.

What makes this title so special?

Well, it’s right in the middle of the most promising business opportunity of our life. I’m talking about capitalizing on the Space Economy. The opportunities found inside are as endless as the space itself. And the title I’m focusing on is the only one that can realistically go up 10x fast.

Seriously. If proven successful, this company is poised to change the world. And his stock could really go up 10x or more over that period.

It’s a title you just need to know today.

At the date of publication Luke Lango did not have (either directly or indirectly) positions in the securities referred to in this article.

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