It’s been a slow and choppy market for the last week or so. This always seems to happen when the market gets right near the highs. Maybe we’ll get a better idea of where we go next from here soon.
As for me, I’ve been mixing it up, trading small-cap stocks, as well as, trading options. But to be fair, it’s been all relatively small. Trading is all about timing, I want to have the most amount of capital when I feel the best edge…and if I don’t feel like I have an edge, then I will lay off and stay patient.
It’s how I was able to average over $1M in trading profits over the last four years.
I’ve been doing research to stay busy, trying to find the next big stock play, creating watchlists and teaching people how to trade watchlists.
For example, I’ve been more active on my facebook page and Raging Bull’s Youtube page, giving out free lessons on the stocks I’m trading, searching for catalyst plays, trade reviews and so much more.
Now, one thing I did notice in the mainstream news was that Verizon started rolling out its 5G wireless network for smartphones. That said, 5G is expected to be 10x faster than are phones currently
Furthermore, I’ve been bullish on 5G technology for a while… Heck, Sniper Report has two 5G stocks in its portfolio.
And that’s the thing…
By the time the mainstream media picks up on a story, and everyday folks start talking about the investment, you know, you’re near the top. Sort of like Bitcoin a couple of years ago.
That said, I believe it’s better to be proactive than reactive. Now, I can’t tell you what my two 5G stock picks are in Sniper Report, it wouldn’t be fair to paying clients.
However, I can teach the thought process behind my selections in 5G. Also, I’d like to share with you some tips and tricks on how you can find these explosive growth stocks. Click here to learn about how to spot the next big trend.
There’s a difference between traders who make money and those who don’t. Those who are proactive and spot catalysts and trends before they hit are the ones who are successful… while the ones who are reactive are just chasing returns.
The whole idea here is to find game-changing technologies and trends before they become widespread. So when you’re in the companies with first-mover advantage… those will be the ones that move the most.
Now, one way to take part in big trends is to find the suppliers. These companies will supply large multinational companies with large markets.
How do you find these companies?
Well, it helps to read articles, tech blogs covering events like The Las Vegas Consumer Electronics Show (which happens in January), and following companies debuting their latest technology. You can screen and find a basket of stocks and just go to their company website, or read through their SEC filings.
If you go to the company website, you would go under the Investors Relations page. For example, here’s a look at the latest catalyst and news for Nokia (NOK).
One way to see what these companies have in store is to follow conferences and tech events.
Some events to keep on the radar:
Attending these events (or reading up on them after), earnings transcripts, and listening to the companies explain areas where they see growth should help you spot the big trends taking place.
Now, I’ve been doing this for stocks exposed to the 5G industry… and I’ve been following all the latest catalysts for 5G stocks very closely.
A lot of traders have been waiting for the catalyst to hit… waiting to see which stocks will be the leaders. However, what they don’t know is the fact that there are stocks already working on this technology, and they have first-mover advantage. What that means is when 5G becomes widespread… those stocks should rocket higher.
You might be wondering, “What’s 5G, Kyle… and why should I care about this industry?”
Basically, 5G will provide everyone with lightning-fast speeds. That means faster internet on your mobile device.
A Look into the 5G Industry
If you remember 3G moving from 4G… it was like going from running to driving speed. It was great for consumers and industries. However, the move from 4G LTE will be like going from driving speed to rocket speed.
Right now, 4G speeds average around 50 megabits per second (Mbps)… however, 5G networks will hit up to 5 gigabits per second (Gbps) when it’s rolled out fully. In other words, that would be 100 times faster than the average 4G LTE speed today.
With increased speeds… it’s going to have a lot of impact in various industries like:
- Self-driving cars.
- Virtual Reality (VR) and Augmented Reality (AR) applications.
- Internet of Things.
What’s that mean for stocks developing 5G technology?
Increased revenues and earnings, which would drive their stock prices higher.
You’re probably wondering when this technology will hit the market.
5G Rollouts Have Started
Now, Verizon (VZ) has already started to roll out 5G networks. Just last week, VZ announced it turned on its 5G networks in Chicago and Minneapolis.
For now, the wireless network would give customers access to peak speeds up to 1 Gbps… however, over time, those speeds should increase to the threshold of 5 Gbps. Other cellular data providers like T-Mobile and Sprint are planning to roll out 5G later this year. Moreover, AT&T’s 5G+ network is already available in 12 markets.
Now, if you don’t already know… you need a specific device designed for the 5G network to actually take advantage of the technology.
That in mind, companies providing chips for mobile device makers like Apple will benefit the most. With the way some of these chipmakers have sold off… that tells me one thing, the markets are undervaluing these companies and the 5G industry.
If you want to learn more about the 5G stocks on my radar…