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Smart Stocks Newsletter · Francesco

Francesco

Jul 3
Thema der Woche · AI Infra

🚨 The AI Trade Wobbles… But Don't Chase The Rotation. Instead, Do This....

Some definite short-term warning signs have started to emerge in the AI trade—while elsewhere, other sectors continue to flourish stress-free. New merchandise is leading this market, make no mistake about that.

Das Wichtigste · 🚨 The AI Trade Wobbles… But Don't Chase The Rotation. Instead, Do This....

For us, software positions held up well, and that remains a leading group.

But it was all about having our risk management dialled in nice and tight over the last two sessions, stopping out of DELL, NBIS, and MRVL only to see them all trade considerably lower after our exits.

So is this just another market shakeout, or does bigger trouble lie ahead?

This weekend I’ll be talking about: Troublesome signs in detail and highlighting the situational awareness tools you can use to spot them in real time Break down the other sectors benefiting from this rotation A look at where the next batch.

Holding the Line at Critical Support

QQQ had an interesting week, looking like it was ready to break out and potentially test the highs on Tuesday, only to fall back towards the 50-day moving average , where it found support on Friday.

Rotation Keeps the Bulls Alive

There was definitely some turbulence for SPY, but it’s difficult to complain with the way it finished the week.

Rotation Continues to Shine

Rotation has been the biggest benefit for IWM , keeping it above its 10 EMA despite experiencing a couple of decent shakeouts on both Monday and Friday.

They Delivered Exactly What Was Needed

The MAGS needed to produce something special this week..