Stocks That Steal the Show in Midterm Election Years

By Lucas Downey

Listen to the audio version of this article (generated by AI).

 

Note from Michael Salvatore, Editor, TradeSmith Daily: Let’s face it: The new year investment predictions buzz is exciting. Everyone loves a good prediction – the bolder, the better.  

But the truth is, predictions are fickle. And if they’re not supported by data, they can easily put a damper on your trading in the new year. 

That’s why this year, we’re bringing back our Anti-Predictions tradition that we began last year. 

All our analysts’ 2026 predictions won’t come from a hunch, a macro speculation, or anything that can’t be quantified by data. Instead, they will be a smart use of TradeSmith’s tools and systems that rely on cold, hard data. They aren’t predictions – they’re the opposite. But our goal is for them to help you in 2026 all the same.  

Our series continues today with Lucas Downey, editor of Alpha Signals, with his data-driven forecast for 2026… 

Looks like 2025’s biggest winners are about to hand over the crown. The market has left us two big clues to what’s coming: 

First, a pattern that’s been remarkably consistent for a century… 

And second, current buy signals that historically precede a massive thrust higher. 

You’ve just got to be willing to look outside of some of the normal offenders, as we do in my Anti-Predictions for 2026. 

My latest signal study suggests that the $1 Trillion Club of stocks may be played out. Meanwhile, as interest rates come down, entire sectors that have been dormant could roar back to life. 

And that’s the kind of action that could keep you on track to your goals… even if the broad market fails to deliver the double-digit gains we’ve grown accustomed to. 

Watch now to see the type of stocks I have in mind – with exact timing windows to watch: 

Regards, 

Lucas Downey  
Editor, TradeSmith’s Alpha Signals