The Best Advice for the ARM IPO Frenzy: Ignore It

A few things to be aware of this week: CPI (Consumer Price Index) and PPI (Producer Price Index) numbers are coming out. That will guide The Fed as to what they do with interest rates.

But the biggest news of the week is the ARM IPO.

I warn you not to get caught up in all the excitement, for a few reasons.

Not only are IPOs unpredictable

But insiders often get the stock at a lower price than it’s being offered to the general public, so there’s going to be selling pressure from these insiders to get out.

But that’s not even the biggest reason to stay away…

If those reasons aren’t enough to keep you our, remember: I always advise that before you invest in any stock, you need to establish a trend.

And it’s going to take months before we can see any trend in ARM. So if you’re doing what I’m doing, I suggest you stay away!

Now, this ARM IPO is going to impact all the other companies in that industry: NVDA, AMD, AVGO, QCOM.

So what I might do is look for play in a related company…

Another thing to consider: NVDA wanted to buy ARM. Both parties were up for the deal, but governments put a block to it.

NVDA is currently an investor in ARM, which makes this a deal unlike any I’ve seen.

And so are many of ARMs competitors and partners like NVDA, MSFT, GOOG, AMD, etc.

So if this IPO goes up, all those could rise along with it. But that’s a big IF.

My biggest takeaway from all this… There are a lot of unknowns with this IPO.

I would stay away. A much better place to put your money is in weekly consistent income trades.

If you want to see what I do every single week — no matter what The Fed is doing, or which IPO is crashing and burning… click here and watch the video.

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