What Luke Lango is buying today

No recession in sight… where Luke is bullish… what history tells us about investing in new technologies… Bitcoin Loses One Support Level, Holds Another

The US economy is not on the brink of recession as feared. Rather, he appears to be in the early stages of recovery.

The Fed will continue to support this recovery by cutting rates over the next few months. And that will set the stage for stocks to have a great holiday season.

So wrote our tech expert Luke Lango in his Early stage investor Daily notes following last Friday’s jobs report.

In his exposition, Luke highlighted a few details. Here are some excerpts:

The US economy added 254,000 jobs last month, well above expectations and the largest monthly number of job gains since March…

The job growth numbers for July and August were revised higher with a very significant 74,000 jobs…

Private payrolls rose by 223,000, well above expectations and the biggest monthly job gain since March, showing that this job recovery is not just driven by government hiring…

The unemployment rate fell from 4.2% to 4.1%, marking the second consecutive monthly decline…

Average hourly earnings rose 4% year over year, better than expected and up from 3.9% growth the previous month. Real-time estimates for inflation in September are around 2.2%. That means wage growth outpaced inflation again last month for the 16th month in a row…

It’s hard to look at these numbers and disagree with Luke’s findings and conclusions: September’s jobs report was strong from head to toe…it bodes well for our economy, corporate earnings and stock market… it’s time to put some money to work.

Luke has done just that, making new “buy” recommendations over the past few days.

This makes us careful. After all, Luke’s subscribers have taken advantage of his previous recommendations in recent months.

For example, since August, Early stage investors subscribers locked out:

• 270% Earnings at AST SpaceMobile (AST)
• 50% Earnings at Life Time Holdings (LTH)
• 50% earnings at ON Holding (onOne)
• 120% Earnings at Palantir (PLTR)
• 110% Earnings at Rocket Lab (RKLB)

A big “congratulations” to Luke’s subscribers. But they don’t go on these turns.

Here in October, Luke made six new recommendations and there is one main area in his view. Let’s move on to yesterday’s trade alert:

(We see) some interesting buying opportunities, particularly in the autonomous vehicle (AV) sector. With Tesla’s upcoming Robotaxi event on Thursday, we see the potential for a sea change in the AV landscape…

We believe this could prove to be a watershed moment for the autonomous vehicle (AV) revolution. This event could tip the revolution from niche disruption to mainstream transformation. We would be buyers of AV stock before that tour time.

What Tesla’s ‘We, Robot’ event means for the AV/EV sector

As we watched here, in DigestThis Thursday, Tesla is holding the “We, Robot” event. The company is expected to unveil its first dedicated robotaxi, tentatively named “Cybercab.”

We believe this will revolutionize the automotive industry and beyond. The economic/investment chain is vast and full of opportunities.

Now, the obvious investment choices are simple. Here is Luke:

The obvious choices in this space are Alphabet and Tesla.

The former owns Waymo. The latter is about to launch Robotaxi. If Waymo and Robotaxi expand and take over the global ride-hailing industry — estimated to be an $11 trillion market by 2030 — GOOGL and TSLA stock will be big winners.

But a study of history reveals that the best way to play a revolutionary technology is not always the most obvious choice, i.e. the company that brings the final product to market. It is often the suppliers who go above and beyond.

Luke made this point using Apple. Since the release of the iPhone in 2007, Apple has grown over 6,000%. Meanwhile, Broadcom, which has become a major Apple supplier, exploded more than 16,000% over the same period.

Source: StockCharts.com

Investors saw the same dynamic with Nvidia supplying chips to Tesla and Intel supplying IBM. In both cases, the return on the supplier’s stock far exceeded that of the company behind the lead innovation.

Luke thinks we’re about to see this pattern repeat itself, which is why he organized a time-sensitive event yesterday ahead of Tesla’s “We, Robot” unveiling later this week. In it, Luke discussed certain vendors he believes have multi-bagger potential as AV/EV technology reshapes our world. You can watch a free replay by clicking here.

Here’s Luke’s summary:

Our work strongly suggests that self-driving cars are here. They spread quickly. And they will likely become a global ubiquity, possibly replacing human-driven cars, trucks and buses entirely at some point.

Of course, the arrival of the Age of Autonomous Vehicles also means the arrival of huge opportunities in AV stocks.

The global transport services market is estimated at more than 7 trillion dollars. And autonomous vehicles will likely change everything about everything in the industry.

To help prepare for this shift, in yesterday’s event, We’ve unveiled a handbook of what we think are some of the best AV tech vendor stocks to buy right now.

I might be biased, but I think this is October’s “to watch” event — and one that could highlight the next batch of potential superstar tech stocks.

Again, you can watch Luke’s briefing for free and learn more about his playbook right here.

Meanwhile, going back to last Friday’s jobs report, Luke believes the strong data won’t just affect the stock market.

He also sees it as a tailwind for Bitcoin and the crypto sector. Importantly, economic strength will not change the Fed’s planned course of rate cuts, which has been a concern for some on Wall Street.

Here’s Luke from this weekend Crypto Investor Network update:

The Fed knows that economic recoveries can be fragile. They don’t want to jeopardize that. They want to support the recovery. And they will do so as long as inflation remains low – which, as of now, it does. Real-time inflation estimates for September and October are between 2% and 2.5%.

So… the US economy is not on the brink of a recession… but rather, in the early stages of recovery… and the inflation picture remains soft enough to allow the Fed to continue to support that recovery with rate cuts. .. which this recovery will do. consolidation and expansion in the coming months… likely leading to more crypto market strength.

Representing Bitcoin’s recent price action, the past few days have brought an important show of strength.

Two weeks ago, Bitcoin broke above $66,000, falling north of its multi-month downtrend line. While we were encouraged, we knew that the crypto granddaddy would have to test those gains and those technical levels.

Specifically, I watched $64,000 as it correlated with Bitcoin’s bearish trend line. We wanted to see Bitcoin pull back to $64,000, then hold that level, turning it from resistance to support, from which a new move higher would begin.

Unfortunately, that didn’t happen. Last week, Bitcoin dropped from $66,000, then crashed to $64,000, dropping to around $60,500. However, it found support at its 100-day moving average (ME), and this was a welcome sign of strength.

As you can see below, the 100-day MA was resistance for Bitcoin in August, but it only served as support. While we would have preferred this to happen at $64,000, we’re still excited to see.

Source: StockCharts.com

After highlighting this retracement, Luke shifted his technical analysis to Bitcoin’s Moving Average Convergence/Divergence (MACD) indicator

This reflects the momentum of an asset, helping to identify wise entry/exit timing. From Luke:

Bitcoin has struggled quite a bit around the $50,000 to $70,000 range over the past few months that it is very close to triggering a bullish weekly MACD crossover above the zero line.

This type of bullish weekly MACD crossover above the zero line is rare. It has only happened twice in the last five years.

Once was in August 2021. The other time was in October 2023. Both times, BTC rallied strongly in the following weeks and months.

Therefore, we believe that if BTC can continue to push higher and fully trigger a bullish MACD crossover above the zero line, cryptos will be in a position to soar until the end of the year.

We continue to believe that Bitcoin and other select altcoins are a critical part of a diversified portfolio that will protect your wealth. Whether or not this is the Bitcoin breakout we’ve been waiting for since spring, we remain bullish on crypto.

We’ll keep you updated here, as well as Tesla’s “We the Robot” event.

Have a good evening,

Jeff Remsburg