The setup for growth stocks is pretty straightforward: • The $QQQ gets back above the 50-day moving average. OR • We get a correction of 10%+ followed by a legitimate Follow-Through Day. Until one of those happens, I view this as chop. That doesn’t mean there aren’t opportunities elsewhere. Railroads, financials, REITs, Energy and other groups can absolutely have their own setups. But that’s not what I’m talking about. I’m talking about software, semis, neo-cloud, photonics, memory and data center names. For those groups, I’d rather wait for one of those two conditions than force trades in an environment that hasn’t yet proven itself.
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