Caution Is Warranted
Today I Want To Highlight Some Important Observations
That might help us be aligned and exposed correctly, given what is unfolding. We are at a significant crossroads, reckless trading at critical levels will set you back a long way.
And after that we will have a look at some interesting setups that I see in the market.
But First A Trip Back To Early May — NVIDIA
Industry group analysis is a key part of The Setup Factory — since most of a stocks performance is tied to its industry group.
Finding trends and changes in industry groups performance, puts you in a powerful position early.
In late April I noticed Semiconductors, which had underperformed immensely, suddenly outperforming.
AVGO was the first stock that caught my eye.
Heavy Capital Was Flowing Into The Semiconductors And It Is Now Up Over 30% From Suggested Entry
And Two Weeks Later I Told You That The Semiconductors Might Become The Best Group Of Stocks
Because the very bearish base in NVDA showed life for the first time in forever.
Semis Are Leading The Market And NVDA Put In A ATH Yesterday
Almost 30% up from entry suggestion
A group of stocks to keep watching closely going forward.