2 Sectors to Play the Tesla and Ford EV Boom … and 1 to Avoid
The electric vehicle (EV) revolution hasn’t wiped out gas-powered cars just yet.
But analysts predict it’s only a matter of time. Electric cars will soon be everywhere. Once that happens, you can expect them to replace our fuel-based cars for good.
The global market share for EVs will soar past $912 billion in less than 10 years.
Automakers such as Tesla and Ford have already dedicated key resources to ramping up EV production in the coming years.
These moves will ensure more affordable and efficient models come to market.
Our experts agree that this boom market will reach new highs. But how can you ensure you’re playing the most profitable sectors?
We asked three of our experts about the best ways to trade the bullish trend in EVs … and one sector to avoid at all costs.
Chad Shoop told us about one sector he’s tracking to profit from the EV boom in 2019:
There are countless ways to play self-driving cars. It’s an all-out race to produce this technology. The first company that achieves it will dominate the market for years to come. Finding that company is challenging right now. It’s like buying a lottery ticket: You could hit it big, or it could prove worthless. That’s why I prefer adding exposure to the underlying technology that makes electric vehicles possible: semiconductor stocks. These companies will benefit from the race to develop self-driving EVs. They’ll also play into the continued expansion of smart devices.
I’m preparing a Winning Investor Daily article for Tuesday on electric cars. I’ll recommend a specific exchange-traded fund and give you more info about this profitable sector. Stay tuned!
Chad regularly recommends semiconductor stocks to readers of Pure Income. Readers secured a solid gain on the chipmaker Qualcomm Inc. last week.
And he has more plays on semiconductors planned in the year ahead. You can find out more about his winning income strategy here.
John Ross explained why copper is a solid long-term bet on electric vehicles:
The electrification of everything will keep copper relevant for decades. But the electrification trend is only making small dents in global copper supply. I focus on two- to three-month price trends. I can’t get too hung up on the long-term outlook for electric vehicles. But copper still represents a great way to trade EVs. Trading copper is all about global growth sentiment. The trade war is scaring investors right now. But that will change! I’m preparing for an opportunity to buy copper at a discount. I’ll buy call options on major copper producers to leverage copper’s price rallies when the time is right.
Finally, Matt Badiali cautioned against jumping into one natural resource play right now:
The lithium space is in bear market territory. One of the world’s largest lithium producers is Sociedad Quimica y Minera de Chile (NYSE: SQM). The company’s stock has dipped more than 46% from its high in January 2018. That’s a trend that will continue in 2019.
Matt understands better than most traders that natural resource markets are cyclical. While lithium stocks are falling, his Real Wealth Strategist readers are getting positions that are up by the high double digits in short order.
His readers are making gains in the booming cannabis sector — like the 65% gain they made in Canopy Growth Corp. in about six weeks! He’s researching even more marijuana stocks that are buys. You can learn more right here.
Our experts have more to share with you this week!
Our Experts’ Latest YouTube Videos!
Chad Shoop offered viewers advice on how to hedge your portfolio during volatility. Some experts recommend trading bitcoin to hedge your portfolio’s gains.
But Chad argues that the cryptocurrency is too risky. Instead, he suggests two other strategies. You can learn more at the link below.
Anthony Planas released a new episode of Marijuana Markets: A POTcast this week. In it, he lets viewers know about an exciting opportunity to jump into a new cannabis initial public offering (IPO) and earnings reports for two major pot stocks. You can learn more by clicking the image below.
Finally, John Ross explains why the current tariff war is turning the U.S. dollar into a risk currency.
He believes that emerging markets will provide the best opportunities for profitable trades in 2019. And that’s no matter where the value of the U.S. dollar heads. Just click the image below to learn more.
We’d love to hear from you! Are you tracking any plays on EVs and autonomous vehicles?
Just write to us at firstname.lastname@example.org to be part of the conversation.
Our experts always keep a close eye on the markets. They want to make sure they can offer the best trading advice.
Read on to see the topics they’re following this week.
And make sure to click the images below to follow us on your favorite social media platform!
The Winning Investor Daily team
The Prelude to War in the Middle East? Get Ready for Higher Oil Prices
History has shown us that geopolitical events affect oil prices. In the early 2000s, geopolitics pushed the oil price higher. This seems to be repeating as tension in the Middle East builds up. (3-minute read)
Why You Should Not Hedge Your Portfolio With Bitcoin
Volatile times call for minimizing risk to your portfolio. Many investors suggest using bitcoin as a tool to hedge their portfolios. Chad Shoop debunks the myth behind bitcoin as a hedge tool. (4-minute read)
Why a Falling Dollar Will Fuel the Next Rally in Emerging Markets
Emerging-market economies are more fragile than developed economies. The trade war is casting a spotlight on their fragility, and volatility is spooking investors. Top investment analysts are turning elsewhere. They believe the U.S. dollar will benefit from a trade war. John Ross begs to differ. (4-minute read)
3 Simple Steps for Choosing a Profitable Stock
Many people think that investing is a complex deal, but it doesn’t have to be. Charles Mizrahi talks about the common misconception about stock picking and investing. And he shares with you exclusive insight on three basic principles he uses in his research and investments. (3-minute read)
Banyan Hill Exclusive: New Marijuana Valuation Metric
Ratios are a great way to see if a company is expensive or cheap compared to its peers. The cannabis sector was missing its metric. Anthony Planas taps into the combined experiences of Michael Carr, Brian Christopher and Matt Badiali to create a proprietary cannabis metric. (3-minutes read)