Tag Archives: technology

All Jobs … ‘Fake’

December 17, 2024 By in $SPSIBI, Biotech, LABD, LABD-24-21, SPBIO, Wyckoff, XBI Tags: ,

What’s The ‘Real’ Message

Like a scene out of Animal House, we have Tomfoolery going on with ‘official’ data, out of ‘reliable’ sources.

Turns out, at least in this case, the data’s fake.

Earlier in the year, we had 800,000 jobs. That was fake as well.

The message that most if not all have missed, is the market’s response to the fakery:

The markets have responded to revelations of fake data by doing … nothing. No wild swings, no major gaps lower or higher, nothing.

That’s the real message.

This site’s focused on what the market’s actually telling us, not what the (fake) financial press tries to tell us.

All of which, brings us to biotech.

Biotech Sector SPSIBI (SPBIO), Daily

We’re using ‘pure’ index (in this example) as the XBI, has minor differences, obscuring the Fibonacci sequence.

Price action’s consistent with establishing and confirming a right-side trend line (not advice, not a recommendation).

With that said, there has not been a new daily low … yet.

So, there’s still the possibility of breaking the downtrend (line) and morphing into something different.

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279

The A.I. Bubble’s in Trouble

November 14, 2024 By in Artificial Intelligence, Semiconductors, SOXS, SOXS-24-20, SOXX, Wyckoff Tags: , , ,

Ruh, Roh, Scooby

Well, Scooby … looks like we’re in trouble, now.

Actually, it’s the A.I. bubble, that’s in trouble (not advice, not a recommendation).

To start things off, here are a few (A.I.) notes from the article at this link:

‘significant near-term headwinds’

‘diminishing returns’

‘hit a proverbial brick wall’

‘not lived up to expectations’

Need we go on? Why not. 🙂

‘increasingly challenging’

‘massive costs’

‘might be a pipedream’

Well, I think that sets the stage.

Before getting to the chart, let’s just add this one item.

While A.I. appears ready for a complete implosion, ‘investors’ have rarely been so optimistic, link here.

Of course, from a Wyckoff standpoint, the chart below, has already told us what’s likely to happen next.

Semiconductors SOXX, Weekly Close

Price action’s (potentially) in a massive terminating wedge, three-years in the making.

Note, the SOXX is at the trend-line for the fourth time.

An old Wall Street adage, the source of which was lost long ago said, ‘when the trendline is challenged for the fourth time, there’s typically a break’ (not advice, not recommendation).

Let’s see if that happens now.

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279

Good News/Bad News … Micron

September 29, 2024 By in Artificial Intelligence, David Weis, MU, NVDA, Semiconductors, SOXS, SOXS-24-17, SOXX, Wyckoff Tags: , , , ,

Massive Volume & Gap

From a Wyckoff and David Weis analysis perspective, wide high-volume, price bars tend to be tested.

What does that tell us (to anticipate) with Micron’s huge gap-up with volume?

When we go to the chart, we see more … a lot more.

Frist off, let’s not forget, Micron’s Number Nine, in market cap within the SOXX, tracking ETF.

Its price action behavior (significantly) affects the index.

Micron Technology MU, Daily

We’ve got a (possible) Head & Shoulders. with an Up-Thrust, precipitated by good news (here and here).

It’s been 70 (trading) Days since Nvidia hit all-time highs; a high forecasted, then confirmed here and here:

Back then, was this:

“With the prior update letting us know the air is going out of support for continued A.I., today’s action may be a significant reversal (not advice, not a recommendation).”

It was significant. Nvidia has not been there since.

Implications

The implication with the (still holding) Nvidia top, is the A.I. bubble has burst.

Possibly the largest asset bubble in world history.

What we’re seeing with Micron, is potentially the last gasps of short covering, with an attempt to mount a rally in an overall deflating market (not advice, not a recommendation).

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279