I suspect waiting for Coppock buy signals is unnecessary. Just start buying when Coppock is negative. As long as you have the right stock, 3G, great story and fundamentals and in a secular uptrend, this should work well.
The head and shoulders top that Nvidia seemed to be forming can also be a continuation pattern. If it is, there could be a big rise coming. There is nothing to say buy on the classic monthly Coppock chart, but the weekly chart tells a different story.
I haven’t crowded the chart with smileys, but you can read up from the Coppock Curve to the main chart to see how successful it has been to buy when Coppock is negative, as it is just now. Nvidia is due to report in 15 days, and I will be amazed if Jensen Huang is not bubbling with excitement over prospects.
The key point to remember is that Nvidia IS the AI revolution.
This six-monthly candlestick chart of Nvidia is super strong. Forget Coppock, look at the bullish consolidation. There could be fireworks ahead.
This is an ultra-long-term chart of QQQ3. Each candlestick represents a year of trading. We can see that a huge consolidation is forming, which could form the basis of an epic bull market.
Share Recommendations
Nvidia. NVDA
Wisdomtree Nasdaq 100 3x Daily leveraged ETF. QQQ3
Strategy – The Monster Bull Market Hypothesis
I am beginning to suspect that the charts are consistent with a massive bull market taking place in the not-too-distant future. I am provisionally going to call this the Generative Artificial Intelligence (GenAI) bull market because it seems that the global application of GenAI is going to be the driver of this bull market. Nothing is written in stone, maybe there is an incredible ‘something new’ due to emerge to drive an epic new bull market.
I wish I could be half my age and use this new bull market to become insanely wealthy, but as the Irishman said, we have to start from where we are.
Don’t forget also that although he is off to a bumpy start, Trump is probably the most stock market-friendly president of all time. I have a growing impression that Trump is smarter than he looks and sounds. The bien-pensants hate him and always will, just as they hated Thatcher and Reagan. They love people who do b****r all but say the right things. Trump is more in the mould that every time he opens his mouth, gentle maidens pass out, but he gets results.
If we look at this chart of the Nasdaq 100, we can see that classic Edwin Coppock buy signals with Coppock negative are rare, just five since the mid-1980s. Coppock spends a lot of time faffing around. You can look deeper and find signals, but you can also, as with weather forecasting, assume that tomorrow will resemble today as the bull market rolls onwards and upwards.
The latest move looks like a reversal of the trade war correction and the resumption of the bull market. The fundamentals support an optimistic view, with CEOs in America fizzing with excitement over prospects for their companies.
Alex Karp was asked what he thought of the sharp fall in Palantir shares after an incredible set of results. He was wild in his denunciations of the crazy people selling the shares. Do what you like is perhaps more what he said, but if you want to make money, you must be along for the ride. Or, as I put it, if you want to see the show, you need to buy a ticket.
