Over the past 30 years, has there been a bigger producer of wealth than technology?
The answer: yes – there has been. Fueling our world is more important than the luxuries that are within our world…
But besides the creation of energy – nothing has created more wealth than technology.
The profit stranglehold the technology sector has had on Wall Street is something that most industries dream of…
However, all of that is about to change.
Have you ever heard the adage, “a rising tide lifts all ships?”
There have been many companies in the technology sector that have been able to live off the accomplishments of other companies that have come before them.
Not to belittle their products at all…
I’m just saying that there are definitely some companies that have benefited by living among giants. Meaning that while their products and services may not have been the most progressive or innovative – the fact that they’re associated with some monsters – made them monsters by proxy.
And this association has been great for many companies…
But as I just said, that’s all about to change.
Two of the giants of technology are taking their services to another world – which may make things much harder for some to make their way.
It was recently announced that both Google (GOOGL) and Facebook (FB) would no longer be considered “technology stocks” and, instead, will be grouped together in the new “communication services” group that is already housing both Netflix (NFLX) and Comcast (CMCSA).
This is something that has a lot of people nervous….
And even more people excited.
Why?
Because they know this move represents a huge shift in power, as well as a potential buying/trading frenzy that is going to make things very interesting on Wall Street…
Because this move means a lot and has many ramifications…
But one of the biggest things to come out of this is the volume of volatility that’s about to take place, because this move means that over the next few months – telecom, tech, and consumer-discretionary sectors will all have to trade billions in shares to realign their holdings by the September 28th deadline.
That represents more than a few profit opportunities for people like us – because things are going to shift in all sectors – opening some doors that could lead to windfalls for those that act now.
The new communication-services sector will be taking on a lot…
Shifting from 2% of the S&P to an amazing 10% according to Credit Suisse.
As tech-based funds begin to drop FB & GOOGL the uptick in volatility compounded with price swings could lead to a price drop in Google and/or Facebook…
A price drop that would allow us regular Joes to get in a discounted price!
So that’s why people are excited…
Of course, the people that are currently holding on to either FB or GOOGL, or maybe own a fund that has either of these companies in it – could see their bottom line take a hit.
Which is why I urge all of you that have a position in funds to peruse the holdings – as you could see a drop in value.
And here’s the takeaway…
Most people don’t even realize this shift is happening!
Even though some of the big fund companies are trying to get ahead of any market upheaval by creating new funds that track the new communications-services sector…
Very few people have decided to pull the trigger.
Which puts those that know in a very good position to make a lot of money.
I expect GorillaTrades to start reflecting this shift sooner rather than later…
Our trading platform is already taking all the hard data into account and each batch of recommendations the algorithm spits out – could soon have the stocks that will benefit the most from this shift in sectors.
The next few months could be very interesting…
We’d love to have you aboard for the fun – but understand if you’d rather just do it all yourself.
Either way, consider taking a look into this new sector and what it could mean for you bottom line.
“Life is a series of steps. Things are done gradually. Once in a while there is a giant step, but most of the time we are taking small, seemingly insignificant steps on the stairway of life.” – Ralph Ransom