Editor’s note: “A Golden Ticket to Profiting From ‘Hidden’ Bull Markets” was previously published in January 2023. It has since been updated to include the most relevant information available.
What if I told you that one tiny sector of the stock market was regularly responsible for more than 30% of the market’s biggest winners?
Not just right now but every day, week, month, year.
You’d look at me skeptically. Maybe you’d call me crazy. But, nonetheless, it is true.
I’m looking at this year’s leaderboard right now; five of the top 10 best-performing stocks are from this tiny sector.
Over the past year, this sector accounts for six of the top 10 best-performing stocks.
In 2021, it accounted for four of the top 10 stocks.
In 2020, five of the top 10 stocks were from this sector.
And in 2019, three of the top 10 stocks were from this sector.
Pretty amazing, right?
One tiny sector of the market – which, by my calculation, collectively accounts for less than 1% of the market’s total value – regularly accounts for more than 30% of the market’s best-performing stocks.
These are the most explosive stocks in the market.
But they have one fatal flaw: They’re exceptionally risky.
So far in 2023, this sector accounts for five of the top 10 best-performing stocks. It also accounts for four of the 10 worst-performing stocks.
This sector is the quintessence of high-risk, high-reward.
That’s probably why you and 99% of investors avoid this sector altogether. It’s too risky.
But what if there is a way to invest in the sector while mitigating risk? What if there was a way to tap into this sector’s regularly huge profit potential while reducing downside exposure?
Theoretically, that would be the best trading strategy on the planet.
Here’s a deeper look.
A Bull Market Is Always Roaring
No matter what’s going on with the broad market indices or how many crises might be popping up around the globe, there’s always a sector, an asset class, or a group of stocks that’s surging – and making its investors fistfuls of money.
Why? Because we live in an $80 trillion global economy.
That’s a lot of money. In fact, it’s so much money that it’s guaranteed not all of it will always move in the same direction.
Let’s pull out the sports analogies.
Even the worst free-throw shooter in the world will hit at least a few throws if you give them 80 trillion shots. Even the worst batter will hit the ball a few times if you pitch to them 80 trillion times.
By the same token, even a few stocks will rise in the worst of macroeconomic conditions if you give those stocks $80 trillion to work with.
In our global economy, something is always going up, and something is always going down. Both are always true.
So, instead of focusing on what “the market” is doing, I recommend this. Keep in mind that it’s not so much a stock market as it is a market of stocks.
And thanks to those stocks’ wildly differing fates, there’s always a bull market printing money for investors who know where to look.
Huge Opportunity in Hidden Bull Markets
Let’s take this a step further to make sure we’re on the same page.
When I write “bull market,” I don’t mean gains of 25%, 30%, or even 50%.
Now, I’m not scoffing at those returns. Who doesn’t want to make 50% on an investment?
But what I’m talking about is 100%-plus returns in a single year. And again, this is regardless of what’s happening in the S&P 500 or the Nasdaq, the commodities market, or elsewhere.
Let’s put some real numbers on this so that you can see for yourself.
In 2018, the S&P fell by 6.24% for the entire year.
In 2019, the S&P had a great year, up 29%.
But that bull market was nothing compared to what happened for Axsome Therapeutics (AXSM), which erupted 3,565% over those same 12 months, Relmada Therapeutics (RLMD), up 748%. Not to mention EverQuote (EVER), which climbed 722%, or AVITA Medical (RCEL), up 713%.
And that brings us to 2020 and the COVID-19 pandemic. Despite falling more than 30% during the bear-market low, the S&P climbed 16% on the year.
Meanwhile, Blink Charging (BLNK) made its investors 2,190%. Voyager Digital (VYGVQ) returned 1,983%. Beam Global (BEEM) soared 1,483%. FingerMotion (FNGR) added 1,084%, and Plug Power (PLUG) climbed 973%.
That’s all in just one year.
Even in 2022, with the worst inflation in 40 years and stocks getting pummeled, you’re kidding yourself if you think there weren’t localized bull markets.
Take energy and shipping stocks, for instance.
Thanks to the Russia-Ukraine war and severe tightness in the oil market, the price of oil stayed high in Q1 and Q2 of 2022. That sent oil and gas stocks soaring and allowed some traders to make a lot of money in oil stocks.
This was also a huge boon for certain shipping stocks that load exports of diesel and gasoline.
But a moment ago, we talked about 100%-plus returns.
Again, this is in less than eight months – and during a broad bear market.
This is not an anomaly.
These individualized bull markets happen all the time, and they make their investors life-changing returns.
So, the question becomes: how do you find these mega winners?
Well, that brings us to our brand-new quantitative system.
The Final Word on Finding Bull Markets
There are bull markets literally everywhere right now.
But none are as explosive as the hidden bull market we’ve found to be the most explosive corner of the market. It’s a corner that, on any given day, week, month, or year, accounts for more than 30% of the market’s top performing stocks.
There are literally hundreds of stocks in this specific hidden bull market that could soar 1,000% in less than a year.
Of course, there’s a catch: Investing in this particular hidden bull market can be exceptionally risky.
But my team and I just developed an AI-driven quantitative trading model to remove the guesswork and reduce the risk from investing in this particularly explosive sector.
But know that this corner of the market is only for the most serious traders.
If that sounds like you, then I urge you to attend our Grand Debut event on Tuesday, July 11, at 7 p.m. EST, when we will unveil this high-octane quantitative trading system for the very first time.
On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.