Thursday December 4th – Heating Up?

From the time of the Rate Cut talk by the Fed members 7 days ago, the markets do seem to be heating up. We have our Fed Mtg next Wednesday too, so let’s take a look…

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NASDAQ – We have our recent lows in place and on day 7 we are moving higher toward new all-time new highs. The promise of a rate cut really sparked the markets (again). Many tech stocks started to take off higher this week too.

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The SOXX (Semi’s) really started to heat up coming out of the recent lows. This is now 7 straight days higher and it is back at the all-time highs.

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I discussed some set up in the general Markets and Miners this week. Let’s just review a few areas of bullishness.

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FROM YESTERDAY

ONDS is acting well as it reversed off of the 50sma. I grabbed it here for the report, but then it sold off into the close (Up 12% here, closed up 6%). The set up still looks very good. These moving averages are the green 10sma, blue 20ema, and red 50sma. Price is at or on all 3, therefore your stop would go under todays lows.

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ONDS dropped to the 20ema again, but then it took off higher. I had it here at up 6%, but

 

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ONDS -It didn’t stop there, it was up 12% at the close. This is a nice set up, and it should form a cup.

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FROM YESTERDAYS REPORT

RR was up 7% and was pinched at the 10 & 20ma. This could be bought with a tight stop or when it breaks above the blue 20ema. A simple run back to the highs would be a 100% gainer.

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RR IS A ROBOTICS STOCK AND TAKE A LOOK AT THAT SECTOR YESTERDAY! This is my checklist, and take a look at the %-Gains

ROBOTICS

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RR closed up near 18% gains

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Also take a look at some Aerospace stocks like EVTL, RKLB, ACHR, HOVR, SPCE, JOBY, etc. They took off too.

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EVTL – It may be doing what its name says. going vertical.

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HOVR looks like a tiny move, but this was up 12%. IF, IF, IF some of these run back to former highs, the gains are huge. This would be $1.25 to $4.24, and it ran quickly in September. I traded this and it was actually very hard to hold, with large daily swings.

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In the commenting section I mentioned that QUANTS were starting to run. I was watching them intraday, so this is what I saw

QBTS – This ran up from $22 to $24, pulled back midday swoon, and then they all started to swiftly after tagging the orange moving average. So…

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This is what the chart looks like at the end of the day. It doesn’t look like much, but that was a nice 12% gain for QBTS, and it looks to be breaking out here.  Notice: In JULY it broke out and then consolidated, in September it broke out and tripled!  I’m hoping for a triple 🙂

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QUBT is a Quant stock and it also Popped 10%. See also ARQQ, RGTI, IONQ, etc.

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RGTI also ran slow and steady and ended up ‘Up 10%’.

 

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NOTE: So I just wanted to keep showing you bullish set ups, but I do want to say this. GOOG and AAPL look bullish, NFLX and MSFT are not at this point, they are struggling a bit. The economy may start to give some new reasons for the change. A slowdown in business or employment, etc. may cause a stumble, so watch out for earnings releases if you are buy & hold.

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WTIC – I’ve been watching and waiting for a Pop above the 50sma, but so far Oil is still just chopping sideways. Yesterday it was up slightly.

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YESTERDAY I AGAIN POINTED OUT THE USD WEAKNESS: I Said

The last 2 peaks for the USD had negative MACD divergence, and the RSI is losing the 50% line. The USD appears to be weakening with ‘Rate Cut’ chatter and Gold and Especially Silver are pushing higher.

USD actually sold off lower and lost that 50sma at this point.

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GOLD broke from the triangle and has paused, but Silver broke out and ran higher…

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SILVER broke out and it could stall or just keep running. I’d personally like to see it stall, maybe…

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I’d like to see Silver pause and maybe put in a pennant or bull flag, because if it just keeps going straight up, this will likely be a blow off top and a ‘peak’ for a while.

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GDX has been chopping ‘sideways to lower’ this week. It may just be a dip into a dcl at the 20 ema, and could form a small handle to a cup. GDX is following Gold.

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SILJ has also formed a cup and now may be putting a handle in place. This is why I thought that maybe Silver may give us a flag. I do want to note that this also may just move over to the 10 or 20 ma before pushing higher.

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Well, it certainly looks like the Bulls are back in control, and many formerly hot sectors like Robotics, Aerospace, Semi’s, tech, and Miners are heating up again. Enjoy your Thursday trading!

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~ALEX

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BITCOIN has now given us a move out of the lows that formed a higher low and a higher high. It also overcame that 20ema , but Crypto stocks are mixed right now, and I am a bit more cautious right now.  WULF & CIFR look good. CLSK and HUT & RIOT do too.

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CIFR (& WULF) reversed at the 50sma, so it may be acting bullishly, but I’m worried that if Bitcoin struggles with weakness, These may too. For now, this is a bullish set up and could be bought with a stop.

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CLSK, IREN, HUT, etc are now below the 50sma. It still looks like a bullish reversal at the 20ema, so you could buy it with a stop under that support.