Goodbye Qs, Hello Diamonds: 2022 Market Forecast

With only one trading day left in 2021, it’s about time I share my 2022 market forecast with you.

Six words: out with tech, in with industrials.

Tech seems to dominate the market every year. But 2020 and 2021 were especially good to the big-tech names like Apple, Amazon, and Facebook after COVID-19 forced everyone inside the walls of their home.

With the introduction of the Omicron variant, however, and the optimism surrounding its potential end to the pandemic, 2022’s market will be different.

It won’t be so kind to FAANG, to the QQQs. The stay-at-home trade is in trouble in the coming year…

While the reopen trade – names in the Dow Jones – may be crowned the new kings.

Omicron aside, inflation has become a serious risk to the economy.

And names like FAANG are more sensitive to inflation, to interest rates, than people realize.

That’s why, on an ETF level, I’m watching the less-tech-heavy SPDR Dow Jones Industrial Average ETF Trust (NYSEARCA: DIA) in the new year, not the Invesco QQQ Trust (Nasdaq: QQQ).

On a stock level, I’m watching industrials – producers of aluminum, copper, and oil like Alcoa, FCX, and XOM – names that tend to thrive in inflationary environments.

The Nasdaq can’t be on top forever. And 2022 is the Dow’s time to shine.

These are the names I’m going to be playing all year long in my Profit Revolution trading room – and if you’re getting eager to pop that 2022 champagne, then this is a great reason to do just that.

Join the Revolution and start your year out right – with a full trading plan for the new year!

CHEERS to 2022… and cheers to you.

I hope to see you in my Profit Revolution trading room in the new year, where we’ll trade all of these industrial names.

Happy New Year,

Mark Sebastian
Founder, Profit Takeover

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