How To Profit From This Huge AI Rotation

How To Profit From This Huge AI Rotation

The money is rotating. Here are the backbone stocks I’m buying today…

📰 In This Issue…

The money is aggressively rotating, and it is flowing straight into the backbone of the market: the AI infrastructure and data processing leaders.

We saw the primary AI giants move first, but now the stocks that support that infrastructure are starting to ignite. When a massive sector moves, you must always ask: "Who else profits from this?" We are hunting for asymmetric bets in these secondary movers—the setups that offer massive 1:10 or 1:20 risk-to-reward ratios.

The setups on today's list are coiled tight, backed by massive volume, and emerging from the kind of big bases that lead to monster runs.

Here are the exact setups we are positioning for today.

Best Stocks To Buy Today

$ASML ( â–² 2.39% ) – Long term trade

  • The Setup: A solid 4-month base. Remember the golden rule: big bases lead to big moves. This is a premier "pick and shovel" play in the semiconductor sector that supports the entire AI theme.

  • The Trigger: We saw a clean breakout followed by a textbook pullback to the entry level. It just gave us the bounce we were waiting for.

  • 💡 Tip: Use $ASMU ( â–² 4.23% ) for a 2x leveraged ETF.

ASML Daily

ASML Monthly

$RGTI ( â–² 30.57% ) – Long term trade

  • The Daily Setup: Incredible price action. We saw a 10% gap up day that exploded into a 30% move on a staggering 550% relative volume.

  • The Monthly/Weekly Signal: The weekly chart shows a "cheat" entry that has officially been broken out of. On the monthly, we have a CPR (Closing Price Reversal), which is a major signal for long-term bullish movement.

  • The Macro Picture: It is currently emerging from a 6-month base. When you combine a big base with a monthly reversal, the potential is spectacular.

  • 💡 Tip: Use $RGTX ( â–² 36.32% ) for a 2x leveraged ETF.

RGTI Daily

RGTI Weekly andMonthly

$CIFR ( â–¼ 0.56% ) (Cipher Mining) – Long term trade

  • The Setup: This is a resilient 6-month base filled with deliberate shakeouts to trap weak hands. A previous breakout attempt on 257% Rvol failed, but the stock has now reset perfectly into a handle.

  • The Pattern: It is forming a VCP (Volatility Contraction Pattern). Coils this tight usually create huge, explosive pops.

  • The Trigger: The Monthly RSI is bouncing perfectly off the 60 level. Bases of 4+ months create the best long-term moves, and this one has shown massive relative strength in a weak market.

  • 💡 Tip: Use $CIFU ( â–² 0.45% ) for a 2x leveraged ETF.

CIFR Daily

CIFR Monthly and Weekly

💎 High Quality Stocks Strong Leaders

$APLD ( â–² 21.51% ) Long term trade

  • The Macro Picture: This is a potential historic runner. While we see a 6-month base on the shorter timeframe, the stock appears to be jumping out of a massive 5-year base dating back to 2021!

  • The Daily Setup: We just got a clean breakout from a handle following a 20% correction, complete with a deliberate shakeout in the 6-month base.

  • The Trigger: Breaking out to All-Time Highs on 170% volume (and trending 25% above its average volume). This is a strong data processing play backed by the AI infrastructure theme.

  • 💡 Tip: Use $APLX ( â–¼ 5.07% ) for a 2x leveraged ETF.

APLD Daily

APLD Monthly and Weekly

$LRCX ( â–² 1.9% ) – Long term trade

  • The Setup: A pristine 3.5-month base. Like ASML, this is a critical sector play that supports the global AI infrastructure.

  • The Trigger: A clean breakout followed by a pullback to the entry level and a successful bounce.

  • The Strategy: We are positioning for the continuation of the "hot theme" here. Big bases lead to big moves.

LRCX Daily

LRCX Weekly and Monthly

📊 Trading Framework Reminder

Remember: Every long-term investment alert can also be played as a swing trade. When shorting, risk management is even more critical.

🦅 Long-Term Investors (3-12 Month Holds)

  • Entry: Full position on breakdown.

  • Profit Taking: Cover 1/4 to 1/5 at Goal 1.

  • Exit Signal: Close above 20-day EMA (your trend guide) or 50-day EMA.

  • Why? Strong moves are hard to time at the bottom, but the 20EMA acts as a reliable trend filter.

âš¡ Swing Traders (2-6 Week Holds)

  • Entry: Full position on breakdown.

  • Profit Taking: Cover 1/3 at Goal 1.

  • Final Exit: Cover the remainder at Goal 2.

💬 How Did We Do?

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Regards,

Valentine

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