SMCI Monster Breakout. Semis Follow Through

Hi everyone,

I hope you are having a great Friday!

In this post I’ll concisely share my thoughts on today’s action. And share a bunch of stock charts that caught my eye.

Now let’s dive in ↓

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Market Action

The QQQ continued to new highs today. quite the expansion in just a few days. Big caps driving it higher

The IWO still much weaker but moving up.

Volume

Volume was higher on the NYSE and lower on the Nasdaq.

Trends ( Based on QQQ)

Shortest - 5 Day SMA - UP - Above Rising

Short-term - 21 ema - Up - Above Rising

Intermediate term - 50 sma - Up - Above Rising

Longterm - 200 sma - Up - Above Rising

Group/Themes Action

Semis Follow through up. Big cap strength

Key Stocks in Deepvue

SMCI breakout after pre-annoucement and highest volume ever

ALLY strong bar, starting stage 2 on weekly TF

NVDA ideal action after the breakout

AMD expansion on high volume

ARM great action

AFRM setting up for a pop through the 21

MELI expansion from tight day

DOCU love the price and volume action

ADBE great move from the tight area

PATH setting up potential low risk spot near the 50 day

EFX tight

Market Thoughts

Same as yesterday -Semis power the market higher. Most stocks on my WLs acting great.

Reminder:

Risk Management is Paramount

Refuse to enter randomly without managing risk and wait for the spots to develop, they will. Stocks during strong moves always pull back to the 21 ema, 50 sma multiple times.

Have patience, focus on the best stocks with the greatest potential. These will telegraph the rest of the market.

Take it day by day and manage risk along the way. Be ready for anything

What are your thoughts on today’s action? (Leave a comment below)

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Richard


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