Be patient a little longer for confirmation of support for this rally

MyrnaNorth
01-09

$NASDAQ(.IXIC)$ $Nasdaq100 Bull 3X ETF(TQQQ)$ $Nasdaq100 Bear 3X ETF(SQQQ)$ $Invesco QQQ Trust-ETF(QQQ)$ $NASDAQ 100(NDX)$

Some of rally is due to semis getting pumped hard on the CES show surrounding AI mania. $NVIDIA Corp(NVDA)$ also announced chips for China that meet the US export criteria, but many of China's large companies responded they weren't interested in the slower chips...and the China market is $7B of NVDA's revenue, so the stock may be getting ahead of itself, along with a lot of other semis getting quite expensive, considering they are all fighting for the same pie.

Regardless, I equally suspect a lot of rally is also due to predatory algos using that CES catalyst to blow out shorts in an effort to pump and fill the upper gaps from last week's selloff - it's the unfortunate way of modern algo/options-driven markets.

However, volume seems a bit lower than normal, so too soon to tell if this is just a temporary D-cat bounce, or a sustainable rally. I suspect some profit taking will occur soon, so the strength of selling, and where any retrace finds support, will give clearer direction going forward. Ride the wave with prudence and caution, or be patient a little longer for confirmation of support for this rally and clearer direction.

Semi Rally: AI Hype to Next Level?
Nvidia stock jumped over 6% on January 8 after a series of announcements at Consumer Electronics Show (CES), which included new chips for generative AI technologies, PCs and gaming, and new partnerships. AMD stock was also up over 5%; the whole semiconductors sector closed green (SOXX +3.26%) ------------------------ [DISCUSSION] With Nvidia's share reaching a fresh all-time high, will it bring the AI hype to a new level? Is AI still the investing theme of 2024?
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