SpaceX about to make Wall Street history — buy satellite stocks riding the space
Thesis
SpaceX going public is generating massive buzz around the entire space economy. When a massive, trend-setting company goes public, investors often buy up smaller, already-public companies in the same industry to get exposure without waiting for the IPO. This spillover effect could lift satellite and space-tech stocks like Iridium, Rocket Lab, and Intelsat as the IPO draws nearer. The excitement around SpaceX's space-based AI plans adds fresh fuel to the sector.
Strategy approach
Build a long momentum strategy targeting aerospace and satellite communication stocks (e.g., GSAT, Iridium IRDM). Enter long on the daily timeframe when price crosses above the 20-day Simple Moving Average and volume is at least 150% of the 20-day average. Exit conditions: a 5% trailing stop or if the price closes below the 20-day SMA. Filter for stocks with a market cap between $1B and $15B.