Editor’s note: “Rare Stock Indicators Show the Market Will Keep Rocketing” was previously published in April 2023. It has since been updated to include the most relevant information available.
The massive 2023 stock market rally has taken a lot of folks by surprise – but not us.
We saw this huge rally coming. In late 2022, we re-structured our portfolios to prep for a massive stock market boom. As our result, our model portfolios are soaring this year! One has rallied as much as 60% this year alone.
Why were so bullish?
A lot of reasons. We thought inflation would crash (it has), the economy would restabilize (it has), and the Fed would end its rate-hiking campaign (it has).
But one of the most important reasons we grew increasingly bullish on stocks in early 2023 was because the market did something it has never done before. And that told us that a massive stock market boom was coming.
The Triple Barrel Buy Signal
On the second Thursday of the year – Jan. 12 – the stock market fired off an unprecedented “Triple Barrel” buy signal.
That is, on that day, three major, ultra-rare, and ultra-predictive stock market breadth thrust signals were all triggered – the Breakaway Momentum, Whaley Breadth Thrust, and Triple 70 Thrust indicators.
The Breakaway Momentum indicator is triggered when the number of 10-day advancing stocks in the market exceeds the number of 10-day declining stocks by about 2-to-1. This is very rare and tends to only happen when bear markets are ending and bull markets are starting.
The Whaley Breadth Thrust indicator is triggered when the number of five-day advancing stocks in the market exceeds the number of five-day declining stocks by about 3-to-1. This, too, is very rare and tends to only happen when bear markets are ending and bull markets are starting.
And the Triple 70 Thrust indicator is triggered when the percentage of rising stocks in the market exceeds 70% for three consecutive days. Likewise, this is also very rare. And it tends to only happen when bear markets are ending and new bull markets are starting.
Triple-Barrel Stock Indicators Preempt Mega Rallies
That’s the first time ever that all three have flashed on the same day.
In the past, we’ve only had “Double Barrel” buy signals – instances where two signals were triggered on the same day. That has happened just seven times since World War II.
In all seven instances, the stock market was higher three, six, nine, and 12 months later.
In other words, in January of this year, the stock market triggered an ultra-rare technical buy signal that has a 100% track record of calling the end of bear markets and the start of new bull markets.
We don’t argue with data that compelling.
Therefore, when the stock market flashed this signal in January, we doubled down on our 2023 bull thesis. And we told subscribers that a huge bull market breakout was on the way.
That breakout has arrived.
Following the Historical Pattern
Look at the chart above. Whenever we get a Double or Triple Barrel Buy Signal, the stock rally doesn’t just die six months later. It lasts for a full 12 months, and often, it lasts for years.
This breakout rally looks like it will last for years.
Specifically, we’re observing strong parallels between the AI stock breakout of 2023 and the internet stock breakout of 1991. We believe those parallels will persist for the foreseeable future.
Therefore, we think we are due for a tech stock boom throughout the 2020s that will look a lot like the dot-com boom of the 1990s – which, as history proves, was the biggest tech bull market of all time.
Investors made fortunes in the dot-com boom by investing in internet stocks.
And they’ll make fortunes in this stock market boom by investing in AI stocks.
The Final Word on These Powerful Stock Indicators
That’s why I’m going to tell you all about a loophole I discovered that will allow you to invest in the company that started this whole AI Boom – OpenAI, the creator of ChatGPT.
In case you missed it, OpenAI has done a lot since ChatGPT’s launch in November 2022. Just last week, it announced huge partnerships to power AI programs at both Intuit (INTU) and Moody’s (MCO).
I truly believe OpenAI could be one of the world’s largest companies in the near future – if not the largest.
And that’s why you need to hear about this loophole today. It is your chance to invest in the next big thing.
Like investing in Apple (AAPL) in the 1980s or Amazon (AMZN) in the 1990s — this is an opportunity you can’t afford to miss.
On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.
