Robotics and Artificial Intelligence Ubiquitous
For the past few weeks, we have traded and followed the components of BOTZ, with NVDA topping the list. The cycle has clearly turned now, with potential upside as bullish flow pushes the Coppock Curve higher. Trading the ETF is much easier than trying to time an entry on the BOTZ components, as NVDA traders have experienced lately.
The Global X Robotics & Artificial Intelligence ETF (BOTZ) seeks to invest in companies that potentially stand to benefit from increased adoption and utilization of robotics and artificial intelligence (AI), including those involved with industrial robotics and automation, non-industrial robots, and autonomous vehicles.
BOTZ is also home to some well-known U.S. companies, wherein the ETF’s largest holdings are semiconductor giant Nvidia Corporation NVDA and Intuitive Surgical, Inc. ISRG. These two stocks have returned nearly 100% percent, year-to-date.
NVDA is consolidating in an “inside bar” for the past two days. Look for a resolution soon, as this inside bar progresses or fails, with RSI rising and MACD showing a bull cross on Wednesday. Price action is moving into an area of “no overhead supply” as VBP bands (dashed line) illustrate.
Technology, Semiconductors and Artificial Intelligence stocks are in an up cycle, in addition to XLK and NDX, so we would anticipate higher prices going into year end. AMD, BOTZ, INTC, ADI, LRCX, MCHP, XLK.
PS: 4 shopping days until Christmas!
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