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I Am Iffy on Amazon, but I Like Nvidia, Lam Research and Intel

Earnings season got aggressive this week. Sure, last week we wrapped up much of the financial space, but now we dance with the information technology sector. For joy, the land where fortunes are both won and lost overnight. Overnight? Better change that to a matter of minutes. Many tech names are extremely volatile and will see their market value change in a matter of seconds upon the fast money reaction to their quarterly earnings reports. Just take a look at the market reaction to the corporate performance of Netflix (NFLX) and Alphabet (GOOGL) . What will the markets react to? PE ratios? Not likely. Growth, or the possibility of growth? Very likely. You don't need to know much more than that if for you these names are simply a trade. That said, what if one wishes to invest in the space? That's a little trickier, and hanging on to huge gains going into an earnings release can certainly be an extremely stressful event.

Why I Like Nvidia, Lam Research and Intel

When I look for investment opportunities in tech, I have to see engagement in the development of what I consider to be relevant (or hot) segments of the industry. Artificial intelligence, autonomous cars, block-chain mining and cyber-security come to mind. What other factors figure into my decision making? Treasury yields? Well, yes, that always matters. A tax-reform inspired repatriation holiday? Again yes, but that's sort of like watching the chimney to see if Santa Claus arrives. U.S. dollar valuations? Bingo!

Dollar Bill, Y'all

Cheap dollars will boost earnings for large U.S. multinationals. We have been pounding that table all year, especially since fellow columnist and currency expert Douglas Borthwick told the world that the U.S. currency was over-valued. He told us that right here at TheStreet, and he told us that many months prior to anyone else I heard say it in the industry.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks with serious upside potential in the next 12-months. Learn more.

Did you know that the tech sector, broadly speaking, generates 57% of its revenue outside of U.S. borders? Did you know that within the tech sector, semiconductor names, again broadly speaking, are exposed to an even greater degree than the sector itself? For semiconductors, that exposure is an incredible 87%. What? Yup, really. See, the things you can figure out when you're just a guy scouring the financial universe for an edge.

So, What Do We Want?