$1b contract opportunity for $ASTS and $SPCX
The Japan Low Earth Orbit (J-LEO) Project is a massive Japanese government initiative (backed by a 150 billion yen, roughly ~$1 billion USD) managed by the Ministry of Internal Affairs and Communications. It is designed to build a sovereign, direct-to-smartphone satellite communications network capable of providing continuous connectivity and free emergency services during national disasters, with nationwide coverage targeted for 2029.
The $1 billion Japan Low Earth Orbit (J-LEO) has two primary competing consortiums.
1. Rakuten Mobile & AST SpaceMobile $ASTS: A domestically anchored alliance focused on providing high-bandwidth video calling to unmodified smartphones.
2. KDDI & SpaceX: A partnership utilizing SpaceX's satellite network capabilities to deliver direct-to-cell service.
The project requires the winning operator to provide nationwide direct-to-cell coverage and ensure communication availability during emergencies by March 2029.
The Japanese government is preparing to award the contract by the end of June 2026.
Who do you think will win the contract?
$ASTS has pulled back hard the last couple of weeks, but both systems are still bullish:
• Long‑Term Bull Cycle is intact
• Weekly Combined Signal System is still long
Here’s the line in the sand:
• We need to see a bounce in the next week or
• If June closes with the Monthly BX (my long‑term buying pressure gauge) turning red, this bull cycle is over
For now, I’m still bullish. I see this as a high‑quality buying opportunity inside an extreme discount zone.
No shortcuts: we either bounce soon, or I call the long‑term cycle finished.
You NEED to listen to me right now.
We are in LATE-cycle territory for the overall markets / $SPY.
Bearish divergences are forming with EACH new marginal high.
VOLUME is drying up, candles are getting smaller. This is HESITATION from the bulls.
Momentum is starting to FADE.
Markets will STILL keep going up long-term, but SHORT-TERM, we're in the 8th - 9th inning.
I expect a 5% HEALTHY pull-back.
What should you do?!
1. Keep your AI-winners!!!! Trim 20% to lock-in GAINS, never sell fully. They are WINNERS for a reason
2. Look for CONTRARIAN buys. The stocks that have been LAGGING. They will go down LESS, or even outperform.
3. BALANCE your portfolio with AI leaders + AI laggards + defensives!!!!
All you need to do is SURVIVE, and you will be rewarded with the BIGGEST bull-run in history over the next 5 years.
- Keep companies and consider trimming 20% like $ARM, $NBIS, $MRVL, $MU, etc.
- Slowly positions in companies like $CRWV, etc.
- Build positions in lagging companies like $NOW, $NKE, etc.
- Build defensives like $WMT, etc.
Get ready to buy amazing companies like $AMZN, $GOOGL, and many many others soon.