The Next Trade Will Be Different
Many aren't prepared for what comes next.
It feels like we’re in a place where if you don’t own AI stocks you miss out.
Nearly every stock in the market outside of AI infrastructure has lagged.
But I think that’s about to change.
Over the past few months you had to force yourself into semiconductor stocks or you risked being left behind. Anything that wasn’t tied to AI infrastructure was ignored and left for dead.
Market psychology is funny. Capital flows into the same few mega winners and once that trade gets too crowded and extended, the market starts hunting for the next place to rotate.
It’s like a carousel, capital keeps rotating from one horse to the next.
Where is that carousel headed next? That’s where the alpha can be found, and that’s what I’m going to discuss below.
If you’re not already in the subscriber chat, I strongly suggest paying attention to it.
This is where I post all of my new trades as I enter them. I walk through the trade idea entirely including my thesis, risk level, cost basis, and more.
Last week I alerted subscribers that I added three new positions.
TE at $6.4x
FLNC at $17.8x
NET at $204x
So far this week I’ve alerted subscribers to four new positions.
SMCI at $35x
MRCY at $101x
PLTR at $133x
One compute + datacenter stock that has yet to run, still flat from entry.
This is also where I post a daily thread with my thoughts on the day ahead, relevant headlines and macro events, my main focus names, notable upgrades and downgrades, and anything else I’m watching.
The chat itself has basically become a live market group chat. We have a ton of smart people sharing ideas, setups, headlines, and observations throughout the day, and there’s a lot of genuine alpha in there.
I honestly think it might be one of the most (if not the most active) subscriber chats on Substack.
Come join us!
In the remainder of this article I’m going to discuss where I think the next big trade is, where the market is headed from here, how I’m thinking about the AI infrastructure trade, my new positions that I added and the reasoning behind them, which sectors I think can see a big bid, where I think the biggest opportunities could be hiding, and more.