Musk’s latest move could kill these 2 satellite stocks
Oct 15, 2021Good morning!
Markets are on the move, and it looks like we could have a strong finish to the week on our hands. Good - let’s make some (more) money!
Here’s my playbook.
1 – How I’d play Bitcoin if I were George Soros
Bitcoin is approaching $60,000 and has doubled since June when it traded under $29,000 a coin. Crypto watchers believe that the very first bitcoin futures ETF will start trading next Tuesday. Critics say that the SEC could throw a spanner in the works as late as Monday night if there are any last-minute objections.
My concerns are tied to George Soros.
I am old enough to remember when he broke the Bank of England in 1992 by betting against the British Pound and made a cool $1 billion in a day. That’s why my eyebrows shot up recently when acknowledged that he owns “some” bitcoin.
Uh-huh.
Here’s the playbook I’d be using if I were Soros
Meanwhile, I’m content to ride it out with what I have (in Bitcoin and Ethereum). Then buy more if the dip just happens to materialize.
2 – Wells Fargo’s new ticker should be W_F (cause that’s what many shareholders have to be thinking)
Bank earnings have gone absolutely as expected this week … read JPMorgan, Citi, Morgan Stanley, and Goldman crushing things and, as usual, Wells Fargo biffing ‘em … years of poor management, poor decision making and treating customers even more poorly are finally catching up.
One day WF will be back but probably after you know what freezes over. Meanwhile, my money is on JPM.
3 – Tesla touched $819.13 a share yesterday; Barclays raised its target price to $300 from $230
Good thing they speak “buzz-word bingo” noting that, we are constructive on the stock going into the 3Q EPS release due to the combination of the delivery beat driving operating leverage and strong pricing.
How ‘bout simply … Tesla is headed for $1,000 a share because Musk is a genius.
4 – Starlink …coming to an airplane near you
Speaking of Mr. Musk, he was at it again touting SpaceX’s plan to install Starlink for in-flight WiFi. Personally, I’d love it if for no other reason than those pesky tablets and clunky connections are so much fun to use. Not.
Short or avoid ViaSat (VSAT) which is around $56 a share. The same goes for Intelsat SA (INTEQ) which is already pretty much worthless anyway at $0.012 per share unless you think that the Air France deal to install its 2Ku services on (just) 60 aircraft is a game changer.
5 –Moderna was poised to pop 4 days ago
Shares are on the run higher today following news that the company’s boosters have been approved. Thing is … MMI users knew about this move 4 days ago.
Now, I am not telling you this to brag; I’ve made plenty of mistakes and will make plenty more.
The point I want to make is that the markets are reasonably predictable if you know what to look for and have the right tools to connect the dots.
Some people do this with put/call ratios while others use moving averages or comparative statistical analysis. I built the Master Market Indicator™ for my own use and it’s based on non-linear math, chaos theory by another name.
Anyway, buying shares, options spreads, covered calls, selling puts (what I did) … these are all strategies that become significantly more powerful when you have an indicator like the MMI at your fingertips.
You can find big moves ahead of time, get your money there first and be looking for an exit by the time most everybody else is just figuring out what’s happening (which is the case with Moderna today).
**Note: this is not a sales pitch but if you want to check out the MMI, here’s the link.
Bottom Line
If you are so loosely attached to the companies you invest in or trade that you’ll give ‘em up without a fight, I can just about guaran-dang-tee-you that you haven’t bought the right stocks.
Let’s finish the week strong.
As always, you got this – I promise!
Keith
PS: Today’s AMA – Ask Me Anythings - will be out shortly! Stay tuned for some really interesting questions and answers … as always, you’ve sent in some terrific stuff!
