Our Next Great Melt Up Opportunity
Editor's note: The "Melt Up" Steve Sjuggerud has been predicting for months has finally arrived.
And earlier this month, he shared his No. 1 Melt Up opportunity with True Wealth Systems readers.
It's a way to make hundreds-of-percent gains over the next year or so. But as he explains in today's Masters Series essay – excerpted from the September issue – you'll have to ignore your gut and follow the data...
Our Next Great Melt Up Opportunity
You have a choice...
It's a fork in the road. And you need to choose a path.
This won't be easy. The choice you should make probably isn't the one you'll want to make.
This requires you to go against your instincts. You'll need to trust what you're seeing instead of worrying about what you're feeling.
It'll be worth it, though. Stepping up and making the right move now could mean huge profits.
I'm talking about triple-digit upside, very quickly. Heck, if things go right, we could see a couple-hundred percent gains over the next year or so.
That's not a crazy prediction. I've got decades of data to back it up, as I'll show. But you still have to be willing to make the right move now.
This is a big moment. I hope you'll make the right decision.
Right now, you need to make a choice...
Follow your gut... or follow the data.
Your gut probably has a strong opinion about the markets right now.
It's telling you to be wary of stocks. It's pulling at you, making sure you know we're now in the longest bull market in history... And it could end at any time.
Your gut probably also tells you that valuations are high... And investors are too optimistic...
Your gut wants you to believe that those risks will cause the next market crash... and that it'll likely happen soon.
The problem isn't with your gut's logic. All those points are true. The problem is that right now, none of them matter.
That's why you need to ignore your gut and follow the data.
You see, it's easy to be fearful right now. This is the longest bull market in history. Valuations are much higher than they were before the bull market began. And investors are getting more interested in stocks.
But none of that matters right now... because of one piece of data. It's the only data point that matters right now. And it proves that we have a chance to make enormous returns today.
The S&P 500 Index broke out to a new all-time high last month. That confirms a major uptrend in U.S. stocks. And it's one more reason the "Melt Up" is certainly in full swing.
Regular readers know what we're talking about when we say "Melt Up"... It's the idea that, before the big "Melt Down" in the markets, stocks will first Melt Up.
I know many readers will object to this. How can one piece of data trump everything else?
Well, if you know much about me, you know how I think. And you know this thinking is what I used to build the TWS computers.
The most important thing, above all else, is the trend.
We don't have to worry about the fears in our guts as long as stocks are moving higher. And right now, U.S. stocks are storming to new highs.
The data says the U.S. bull market is still intact. And more than that, it says the Melt Up is continuing.
What do we do as investors? Easy. We put money to work now.
Our current opportunity is a no-brainer given what's going on. By knowing where we are in the Melt Up, we can make a specific bet right now. History says this sector will soar as stocks Melt Up.
This might be the only place you can outperform tech stocks during the Melt Up. We could easily see triple-digit profits over the next 12 months. And if the Melt Up plays out as I expect, a few-hundred-percent profits are possible.
In this weekend's Masters Series, we'll cover the data that explains why our opportunity is so big right now. So, please, ignore your gut while you read this. Stick with the data instead.
Let's get started...
It's Time to Take Another Swing at the Best Melt Up Sector
The TWS computers can be frustrating.
They flash sell signals a bit fast for me. They can get us out of opportunities before they have a chance to play out.
Investments, after all, need time to cook. They need time to work out.
But that's my gut talking, of course.
The reality is that the TWS computers look at the data. And that's our big advantage...
They determine when a strong trend is in place. Then, they tell us "buy." And when it's over, they say "sell." No emotions involved.
We built the TWS computers to work like this. They find the best opportunities for "at bats" in the market. We've got to be out there swinging... but only swinging at the best pitches.
We capture huge profits when it works.
And last month, the TWS computers flashed an "at bat" signal on what might be the best Melt Up sector.
If you've read TWS in recent years, this idea won't surprise you. Unfortunately, you might not be excited about owning it...
Our last three "at bats" in this sector haven't worked. We've taken losses. That might make your gut tell you not to play along. You might be focused on the risk, and not the potential reward.
Please, don't make that mistake.
Right now, we have a fantastic opportunity to get back into one of the most profitable sectors for longtime TWS readers.
It's time to get back into biotech stocks.
If that makes your gut sink, don't worry. It's true that we haven't made big gains on our last few biotech trades. But there's plenty of data to back up the great "at bat" in front of us right now.
The most important piece comes from the TWS computers. Last month, they flashed the most exciting buy signal we can see in the Melt Up.
They told us the uptrend is back in biotech, and that it's time to put money to work.
This is big news. It's exciting because our upside potential is so large.
You see, biotech stocks are among the only stocks that actually beat tech stocks during the last Melt Up. And they didn't just outperform... they absolutely crushed technology stocks. Take a look...
Longtime readers have seen this chart. I've been watching this idea ever since I saw another Melt Up setting up.
Of course, we've been early on the biotech idea when we placed our last couple of trades. I'm OK with that.
I would rather take small losses on the way to astronomical gains than sit on the sidelines and fret over pulling the trigger.
We took small losses and moved on... waiting for the next great opportunity.
My friend, that opportunity is here now. And as the chart above shows, our upside is monstrous...
Tech stocks absolutely soared during the last Melt Up. They jumped 200%-plus in the final push higher. But the move in biotech stocks made that gain look like nothing.
The biotech sector soared nearly 500% in less than two years from late 1998 to early 2000.
We can't miss out on a chance at similar returns in the current Melt Up. And importantly, the next biotech boom is already getting underway. Don't miss out.
Good investing,
Steve Sjuggerud
Editor's note: Steve believes the Melt Up – the final leg of the bull market, where stocks go higher than you could possibly imagine – has officially arrived. And through True Wealth Systems, he has discovered a way to magnify your gains and squeeze every last penny of profit out of the market. We just released a brand-new presentation explaining how it's possible. Watch it here.