Some reasons for caution

Our model gave a recent warning of a potential market top coming soon and we sent subscribers a strategy to protect their portfolio. Below we show a few charts that allow investors to see some reasons for concern here.

The first chart shows the daily purchase and sell transactions by corporate insiders – officers, directors, and holders of more than 10% of company shares. The SEC requires these shareholders to report purchases and sells within two days of a transaction. As we can see on the chart, during the massive sell-off in February and March, insiders were big buyers of their company’s shares (pink circle on blue line). But now in this record setting rally in November, corporate insiders have been massive sellers of their company’s stock (pink circle on red line) .

On the second chart we see CNN Fear & Greed Indicator. This indicator combines seven real-time market indicators to assess current investor mood. Of those seven indicators, six have reached “Extreme Greed,” levels, which is typically indicative of at least a short-term market top.

As investors we need to be aware that this transfer of shares from strong insider hands to weaker retail investors is a warning that we could be in for a correction very soon.

Our models monitor these and many other indicators, and are they have given us a warning signal that we could see a top here in the next 10 days. At the beginning of the year our model forecast the S&P 500 would reach 3600 by the end of 2020; well we have now achieved that target.  Over the next 10 days we have a target high of 3740 for the S&P 500, and our first support level is 3600. A drop below 3600 warns of a steeper decline, with further support targets at 3462, (the 50-Day Moving Average ((red wavy line)), then 3220 ((green horizontal line)), and then the 200-DMA at 3152 ((blue wavy line)).

 If, like many investors today, you are heavily invested right now, you might want to consider some hedging strategies. Every investor should have a plan, an exit strategy to turn to during a a major correction. If you have no strategy on how to lighten up and protect your investments, plus you want to potentially achieve significant gains in a severe correction, seriously consider subscribing to our Trend Technical Trader service. Cyber Monday price only $649.95 $399.95

 

Vaccines – a way forward?

Our objective at Trend Disruptors is to identify and track technology developments that have the potential to “disrupt” market sectors, creating unique investment opportunities for our subscribers. The pandemic of 2020 has been a massively disruptive year on many fronts, with many businesses having to re-invent themselves, trying to remain profitable, to even remain viable. Covid-19 vaccines are almost here, and their development and deployment in the shortest time ever for any vaccine attests to the crucial role that technology plays in modern society. Vaccines have significantly reduced many diseases and infections over the years, and now advanced genetic engineering allows new and much faster vaccine development, by manipulating DNA, RNA, proteins, and sugars. Modern Vaccinology can tackle infectious and non-infectious disease, but some ancient infections, like malaria, and new ones, like HIV, are still with us because a safe and potent vaccine remains elusive for certain infections.

For investors, this year has been profoundly challenging, with markets reacting to business hardships due to lockdowns, business booms where pandemic conditions fostered growth and innovation, and loads of political rhetoric fostering doubt, division, and discord. Here we are in the weirdest of times, expecting that the winter of 2020 will be the darkest hour just before dawn, with Covid-19 vaccines ushering in this long awaited dawn. This years’ investment winners have been those companies that have been diligent in protecting against the virus while providing much needed goods and services. This is the year where online shopping, curbside pick-up, home delivery, and ICU’s (intensive care units) all have increased demand. Covid-19 vaccines are the latest addition to the goods and services to be provided, and the demand is huge.

Society often lurches forward because of disruptions, and most of the world’s population will grow to trust the new vaccines, if high level approvals are achieved and longer term experience piles up good results. Few of us will ever know exactly how a vaccine is built or how quantum computing works, but we all have a responsibility to be adequately and accurately informed about everything that affects our lives. Accurate information is crucial, and with so many sources these days, critical thinking skills are more valuable than ever. Investors need to have quality information to be equipped to take full responsibility for their financial well being.

The aim of TREND DISRUPTORS is to discover, explore, and monitor scientific and technical developments, looking for the best and brightest ideas. We publish relevant investment recommendations for our subscribers and publish blog articles discussing a variety of technology developments. As investors, we look for opportunities and seek out companies that utilize technology to be useful and profitable. As a rule, our stock recommendations are speculative and we advise caution, discretion, and thorough research.

TREND DISRUPTORS strives to identify investment opportunities that can lead to success for the well informed investor.

Stay tuned …

Attack of the Debt Tsunami

For 10 years we have been pounding the table warning that we were heading for a credit market disaster. Governments around the globe have been spending far more than they were collecting, to the point where we warned that ‘far more debt has been created than can ever be paid off.’ And this was BEFORE COVID-19 and the massive spending that governments have been doing since March of this year.

Now the Institute for International Finance (IIF) says that global debt, as of the end of September, has hit a new all-time high of $272 trillion, and it warned of the ‘attack of the debt tsunami.’ The IIF said that global debt will break new records in the coming months to reach $277 trillion by year-end; this would push the debt-to-GDP ratio to 365%. To put this debt total into perspective, there are 7.7 billion people in the world, meaning the $277 trillion in debt equals $35,974 for every man, woman and child.

Are you prepared for this coming debt crisis? If not, seriously consider subscribing to Trend Letter & Trend Technical Trader for easy to follow strategies to not just protect your wealth during this coming crisis, but to actually increase your wealth. Click the button below to subscribe to both services and save $600 off the regular prices.

Can 5G work for me?

Many projects and ideas have been thrown off schedule with the Covid-19 pandemic, but progress is being made on implementing the latest cellular phone network – the fifth generation, euphemistically known as 5G.  As well as the global pandemic, there are other concerns of a geo-political nature to be addressed, such as which countries will allow and trust Huawei equipment on the front end, or anywhere else in their 5G infrastructure.  Everyone wants to have their data SECURE and kept out of foreign government hands, but allegations are easy and proof is hard, so the arguments continue. In the meantime, investors are trying to discern where the best opportunities are to purchase shares and get a good return in this market sector.  Here we break down the 5G market sub-segments in a way that is understandable and actionable.

Front End: You will need a 5G Smartphone to get the full benefits of 5G, to get all that speed, low latency, enhanced security, and connection stability.  There are many choices for buying a phone and we expect the market leaders to continue their dominance, so look for APPLE and SAMSUNG to stay near the top of the list, but there are others that have the potential to move up the list by offering equal or better products at a better price point. We also look for innovation from smaller players, and it only takes one new and popular feature to propel a product into the big leagues.  Companies like Nokia, Huawei, LG, Motorola, and others have that potential.  Supporting the manufacture of Smartphones are several component suppliers like chip fabricators Qualcomm, HiSilicon, and MediaTek.

Network and Other Infrastructure: This is a large sub-segment and includes the big players we all know and love – AT&T, Verizon, Bell, Century Link, Comcast, and Telus, as well as many smaller players like T-Mobile, Wind Mobile, regional nets, and many start-ups that appear and disappear quickly. There are also several large European players in this market, such as Vodaphone and Telekom who will have a large share of the global 5G market. We expect the leaders here to continue being the leaders, as long as they remain aggressive in their development and roll-out of the technology. Back end network technology companies have great profit potential, so we look at companies like Ceragon Networks and Huawei to fare well in this segment, even though Huawei faces strong headwinds on the geopolitical front. Construction of 5G networks includes the need for upgraded and/or new cell phone towers, so a company like American Tower has great potential.

The aim of TREND DISRUPTORS is to discover, explore, and monitor scientific and technical developments, looking for bright ideas that have the potential to “disrupt” a market sector. We publish relevant investment recommendations for our subscribers and publish blog articles discussing a variety of technology developments.  As investors, we look for “disruptive” opportunities and seek out companies that utilize technology to be useful and profitable.  As a rule, our stock recommendations are speculative and we advise caution and discretion and thorough research.

TREND DISRUPTORS strives to identify investment opportunities that can lead to success for the well informed investor.

Note: Trend Disruptor Premium (TDP) has recommended a number 5G related companies to Premium subscribers and is about to recommend a few more.  TDP makes recommendations for disruptive companies in Artificial Intelligence (AI), Virtual Reality (VR), Augmented Reality (AR), 5G, Blockchain, and many other new technologies that we believe will have a profound impact on how the world conducts business going forward, similar to how the smartphone and internet re-shaped our lives.

These disruptive technologies are progressing at warp speed, so don’t miss your chance to get positioned early. Join our group of Premium subscribers and receive our  next recommendation. And if you sign up before midnight Friday, November 20, you’ll only pay $399.95 for your TD Premium subscription. But hurry, because after Friday, the price will revert back  to $599.95.

Stay tuned ….

 

Can we react better with THORIUM?

thorium reactors

There have been few significant changes in the cleanliness of nuclear reactors since the first electricity generating reactor was brought onto the power grid in Obninsk, USSR, in 1954.  The low carbon emissions from nuclear reactors make them one of the greener methods for generating electricity, and a good fit with the “green” initiatives envisioned for addressing climate change.  Reducing carbon emissions and greenhouse gases are important parts of many comprehensive plans to mitigate human-caused climate change. Such plans include a broad range of “green” ways to generate electricity, such as solar panels, wind turbines, hydro electric dams, underwater tidal kites, ocean wave generators, and several other innovative ideas.

Today, nuclear reactors use Uranium as the fuel of choice, but there are downsides to using Uranium, and there are developments well underway to move away from Uranium, in favour of Thorium.  The pros and cons of Thorium are many and can be explored in these main categories:

Efficiency: As a mineral, Thorium is far more plentiful than Uranium, therefore less expensive to locate and mine. However, the cost of the fuel is only a small portion of the overall cost of designing, building, and operating a nuclear reactor.

Effectiveness: In order to be effective in a nuclear reaction, Thorium must be converted to an isotope of Uranium (U233).  This can be done fairly easily in a number of steps, and the reactor itself can assist in this conversion. The U233 fuel can be used successfully in most of the existing types of nuclear reactors, but reactors built specifically for Thorium are the more effective.

Safety: There have been three very serious nuclear accidents, 3-Mile Island, Chernobyl, & Fukushima.  It is imperative to improve the safety record of nuclear reactors, as a small number of disasters can instill a high level of fear and trepidation that is hard to overcome.  Next generation Thorium reactors are designed to be melt-down proof, with many safety improvements. The increased safety would be more a function of improved design over just switching to Thorium as the fuel.

Waste Management: There have been claims that Thorium waste is “better” than Uranium waste.  While Thorium reactors produce a significantly smaller volume of waste, it is still dangerously radioactive for a long time. If storage space cost is an issue, the smaller volume of Thorium waste product may contribute to increased efficiency.

Nuclear Arms Proliferation: There are claims that U233 cannot be used to produce nuclear weapons, however, from a technical perspective it could be done.

Need for more reactors: In the USA, nuclear power is already the primary low carbon energy source for base-load electricity generation.  Solar and wind power have an increasing place in the energy mix, as the transition away from fossil fuels accelerates.  Unlike many other “green” sources, nuclear power is not intermittent, so it is available all the time without the need for energy storage (batteries).

In many countries, the updating and replacing of older nuclear reactors will be necessary in order to meet  impending net-zero carbon emission targets  Time will tell if all the factors discussed above prove to be enough of a benefit to switch from Uranium to Thorium as the fuel of choice for nuclear reactors. Already, the exploration of new fuels has sparked better design ideas for nuclear reactors, and this may be exactly what is needed to restore confidence in the technology, especially when it comes to safety.

The aim of TREND DISRUPTORS is to discover, explore, and monitor scientific and technical developments, looking for the brightest ideas – – those that have the potential to “disrupt” a market sector. We publish relevant investment recommendations for our subscribers and publish blog articles discussing a variety of technology developments.   As investors looking for “disruptive” opportunities we will seek out companies that are using technology to be useful and profitable. As a rule, disruptive technology stock recommendations are speculative – we advise caution and thorough research.

TREND DISRUPTORS monitors technology and scientific developments, and identifies investment opportunities that can lead to success for the well informed investor.

Stay tuned …