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Stocks to Avoid as China’s AI Bombshell Rocks Wall Street Hey, Graham Lindman here… First, if you’re reading this then you’re likely aware of the beating the market took at the open this morning, particularly in tech and AI-related names. This is when we get a ton of emails and questions from readers stressing over the carnage. I won’t be on because I’m traveling, but Roger Scott, Jeffry Turnmire, Nate Tucci and Chris Pulver are hosting an emergency roundtable briefing at 1 p.m. ET to discuss what happened, take your questions and hopefully be a steadying force when things get tough. Be sure and join them here at 1 o’clock for the full rundown. The ugly start came after news broke over the weekend of a China-based AI model called DeepSeek that’s supposed to be 95% more efficient at 1/10 the cost of ChatGPT and other AI models. Yes, I did predict that we will see a pullback in early Feb, but anyone who claims that they called this market on Friday is full of baloney as no one saw this coming. It’s a great example of how the markets are SO catalyst-driven on any sort of news… With that said, let’s see how the cookie crumbles here — there’s some speculation that the efficiency costs reported are bogus, which wouldn’t be surprising but who really knows at this point.. Either way,this is GOOD news for tech giants like Apple (AAPL), Meta Platforms (META) and others while it’s bad news for chip stocks like Nvidia (NVDA) and Broadcom (AVGO), and also bad news for Microsoft (MSFT), which has a stake in OpenAI. Those are the stocks I’d avoid this week. I’m sure the guys will have plenty more actionable info on today’s roundtable session, so be sure and join them at 1 p.m. ET! Just remember to keep your head and not stress too much over the market being down so big today. You never really know what to believe as far as news coming out of China, and hopefully this will just be a blip and not the beginning of a big downtend. We still have plenty more catalysts coming this week from earnings, reports like GDP I’ll be back with more once I get settled in from traveling. Have a question or something you’d like me to cover in a future newsletter or event? Just reply to this email! Our emails and phone lines are BLOWING up… with many traders seeing red all over their accounts and not knowing what to expect next. That’s why we are hosting an EMERGENCY Roundtable session at 1 p.m. ET today, Jan. 27, with experts Roger Scott, Jeffry Turnmire, Nate Tucci and Chris Pulver. They’ll discuss:
Graham Lindman Graham Lindman Trading Follow along and join the conversation for real-time analysis, trade ideas, market insights and more! Telegram: https://t.me/+abM5RWRJKrpkNWI5 Important Note: No one from the ProsperityPub team or Graham Lindman Trading will ever contact you directly on Telegram. Also check out my website at: https://grahamlindman.com/! *This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk. Disclaimer: The material in this document is for informational purposes based on our proprietary research. It is not an offering, specific recommendation, or a solicitation of an offer to buy or sell any securities mentioned or discussed herein. Any performance results discussed herein represent past performance, are not a guarantee of future performance, and are not indicative of any specific investment. Due to the timing of information presented, any investment performance reflected within this document may be adjusted after the publication and distribution of this material. There can be no assurance that the future performance of any specific investment, investment strategy, or product made reference to directly or indirectly in this communication will be profitable, be equal to any corresponding indicated historical performance levels or be suitable for your portfolio. Any investment results set forth in this document are not net of expenses and execution costs, nor do they account for other relevant trading or investment fees. Please visit thetradingpub.com/terms-of-service/ for our full Terms and Conditions. |
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