The AI Trade Broadens as SK Hynix Storms the Nasdaq

This week's trades, market movers, and
technical levels that count, wrapped up
with clarity and precision. This is a
weekly wrap-up with Verified Investing.
>> Hey everyone, what's going on? My name
is Lenho here with Verified Investing,
Verified Pro, and I'm filling in for
Gareth because he's on vacation, and
trust me, he deserves it. But thank you
guys so much for tuning in to the weekly
wrap-up. In today's video, I'm going to
talk about the S&P, the Q's, the SMH,
oil, gold, silver, Bitcoin, natural gas,
Meta, Micron, Nvidia, and SKH Highix.
So, if any of that interests you, make
sure to stay until the end. With that
being said, before I go any further,
guys, please like this video, subscribe
to the Verified Investing YouTube
channel, and leave a comment below on
what you want us to cover next. It
really helps us out and allows us to
continue to um put out this amazing free
content. With that being said, let's hop
right into the charts. And right now I
want to start with the S snp and talk
about what it's been doing this week and
more broadly um overall over the past
few months. And as you see here, we're
trading in this beautiful ups sloping
parallel channel. And this week is no
different. I mean on the chart you can
see all this kind of consolidation
around the midline of this ups sloping
parallel channel. And what do we know
about ups sloping parallel channels?
Well, yes, that they favor a move lower
should this bottom of the parallel
break. Yeah, absolutely. But that it can
continue to go higher, right? As long as
it remains in the parallel. So, what
does that mean for this upcoming week
for the future? Well, it means that I'm
watching a couple things. I'm watching
this upper boundary here of the parallel
channel. So, if the S&P can continue to
push higher, let's say, you know, the
war tensions kind of end, I know that,
you know, our president said that the
ceasefire was officially over, right?
But let's say it officially comes back
on and we have a deal, right? You could
see the S&P make new all-time highs.
Now, we're not that far away, only about
less than 1% away. So, that's just one
decent day in these kind of markets,
right? So, if we have another good day,
we could easily see a move higher
towards this upper range where I'm
looking at resistance closer to that 770
to 780 region on the SPY.
But guys, should we reverse and start to
continue to sell, watch this key uh
bottom trend line, right? Because if
that breaks, look out below. You could
see sub 700 spy in your near future. On
a similar note, right, the Q's, right,
the kind of tech sector, um, trading in
also an ups sloping parallel channel,
they're they're similar, but not quite
the same as you can see. And for me, um,
this, I would argue, is a little more
bearish than the spy. And I'll tell you
why. Right? Look at where the S&P is.
S&P is almost at the all-time highs
where the Q's are still decently behind
about 3% higher. We would need to move
in order to reach that new all-time
high. And um we are going to be running
into some resistance ahead of that. And
I'm going to give you the key levels I'm
watching on the cues in this upcoming
week as we continue to trade in this ups
sloping parallel channel. I'm looking at
the scaffill here around 73640.
Um, there should be good resistance
there. But the key level that I'm
watching, but that should be interesting
is this previous all-time high because
should we push up into this previous
all-time high, right? We would,
depending on where we reach it, we
wouldn't be too far away from the upper
level of this trend line, right? The top
of this uh parallel channel. So, that's
going to be a couple levels that I'm
going to be watching in this upcoming
weeks as we start moving closer and
closer to uh earning season. But, this
is these are some key levels that I'm
watching, guys. The next sector that I'm
going to look at is the SMH. Now, the
SMH is actually looking like it favors a
move lower. Now, you can see that I've
gone ahead and already done the work for
you and drawn out this beautiful head
and shoulders pattern. And don't worry,
I've already calculated the major move
and depending on where it breaks on this
neckline, um assuming it comes down and
breaks it, uh would be a measured move
down uh around 20%. 19 to 20%. Right?
That's But one thing that's really
important to note is the right shoulder
hasn't completed its formation. Right? I
just drew it here um just to
demonstrate. But a couple key levels
that I'm watching coming into next week,
guys. First on the SMH, nice gap fill up
here around 65589.
But look at the top of the head. Top of
the head is up here around 672.
If we get back to new all-time highs or
push above it, what does that mean for
our head and shoulders pattern? It means
that this pattern has been negated. Now
again, that's that's the thing about
patterns that aren't fully completed
yet. Yes, they have a measured move.
Yes, it looks bearish, but first we need
to see that break and that confirmation.
So for me, here's what I'm watching.
Let's say next week the AI hype kind of
dies down a little bit. The war
intensifies and the semiconductors start
to come down. Well, instead of entering
on a break, I would potentially look to
short the semis on our retrace. say we
come down, break the neckline of this
head and shoulders pattern, look for an
entry around the retrace to that
neckline. Next up, oil. So, oil really,
really interesting here. Filled this gap
uh last week on the what I'm calling the
Iran war gap, right? Filling that and
pushing up nicely. And despite, you
know, uh the president saying that the
war is over, oil's come down. We had
that initial spike up after there were
more uh bombs launched in the Middle
East, but it's still a decent ways about
6% down from those highs back on uh
Wednesday of this week. So, I'm going to
continue to watch this gap and should
this uh price continue lower, I'm going
to be watching this beautiful downsiding
trend line for a potential bounce on oil
somewhere between 62 to60.
Right? These these are some key levels
that I'm watching, guys. Moving on to
gold, I have these two downs sloping
parallel channels. And again, we've
talked about it a couple times. What do
parallel channels mean? Well, they're
basically just two different trend lines
that kind of match, right? Um, and I'm
going to delete that broader one for
now.
We can see that price on gold has
steadily gone down, but it looks like it
might be pausing looking for a move
higher and a potential break out on
gold. So, what I'm watching is the upper
trend line here if we can break above
it, making maybe look for a retrace and
then look for a move higher. And then
for me as far as a target, maybe 45 to
$4,600 I think could be a reasonable
expectation to where gold could go.
However, if we continue to stay in this
parallel, we can continue to likely sink
a bit lower. And I'm looking for support
on um the longer term right down here
around 38.885, right? Just under 3900,
the area of consolidation we were at
earlier uh in the end of June. Next
chart I want to talk about is silver. Go
ahead and pull that up. Now for silver,
silver is a little bit different. We
have this beautiful trend line first of
all from the lows of basically the 1st
of August through the 20th of August
coming in. And look where silver has
bounced off of so many times.
Additionally, you're going to have major
support from these pre previous pivots.
This support uh these resistance rather
turned into support. $5450
is that key level that silver needs to
stay above. And even though we're
trading in a beautiful downs sloping
parallel channel telling me that if we
can get a breakout and confirmation, we
could easily see a move higher, you're
also putting in a bare flag here. This
down move followed by sidewards to
upwards consolidation is a classic bare
flag pattern. Now, before I'm hopping
into any trades, I'm waiting for a
breakout or a breakdown, confirmation,
and then potentially a retrace, right?
So, this is something really important
to watch here on silver. Let me keep
going, guys, because we got a couple
more charts to look through. Now,
Bitcoin is interesting. Bitcoin has
continued to play around this um downs
sloping trend line, almost making an
inverse head and shoulders, but not
quite just because of the lows here,
right? You could argue that, hey,
potentially an inverse head and
shoulders here, but I don't absolutely
love it, right? I don't absolutely love
this inverse head and shoulders. But
what I can say about Bitcoin, especially
if you're bullish on Bitcoin, is that
it's finally broken this beautiful downs
sloping trend line. And a nice close
above and then potentially a retrace
could be a good entry. Right. Bitcoin is
down over, let's see, down over 23% from
its highs in May. And if I scroll out a
little further just from its highs this
year in January, we're down about 34.6%.
But you get it, right? So, what I'm
watching is a breakout, potential
retrace, and then look for a long entry,
maybe around 622,
maybe slightly lower depending on what
it does over the weekend. But this is
going to be a couple levels to watch
here on Bitcoin. Next up, natural gas.
Wow, look at this. On natural gas, the
uh the inventories were were a little
bit higher. We had some surplus in
natural gas and that is what ultimately
led to this huge breakdown and fall here
in natural gas. We had a beautiful ups
sloping trend line and a wedge pattern
kind of formed here. Look at that
beautiful break and collapse. Natural
gas down about 9% in about two trading
days for me. A couple key levels I'm
watching here is around this just under
2.8 um 2.8 on uh natural gas. If we can
come down there, I expect some support,
but only time will tell if this level
can hold.
Couple more stocks for you today. Meta.
Wow. Meta absolutely broke out as
they're planning to double their compute
next year. Um, absolutely crazy. Meta
has been, you know, kind of have has
kind of fallen out of favor, right, with
other stocks continuing to push up
higher, making new all-time highs. The
stock, look at this, had a great
breakout today. Was up about 7 and a
half% today. Um, and this is one of
those breakouts you can't really
predict, right? was unable to kind of
close above it until today. So, looking
forward, where are where are a couple
levels of resistance that I'm watching
for the future? Well, there's a gap
fill/pivot high here around $68,8855,
a key level that I'm watching. Then you
can go psychological level at $700. And
then you can look closer to these
previous highs, these uh highs of the
year of around $744.
From double top, we are still down about
16% on Meta. So Meta could definitely be
a runner here, but so far from its lows
in June, just last month, about a 23 and
a half% move. Not too bad. Moving on to
Micron, right? darling, one of the dar
new darlings of the meme stock retail
world. Um, and these semiconductors
trading in a beautiful head and
shoulders pattern. And you guys see this
nice measured move I went out went ahead
and drew for you would be a move down to
around 50 uh $530 about 42% lower. Now,
if I overlay the chart of Micron with
the chart of the SMH, it's pretty darn
similar because they're the same sector,
right? Same sector. So, same plan with
the SMH as with Micron. If we can break
the neckline here of this head and
shoulders pattern, look to enter on a
retrace or a break. Additionally, if we
can somehow recapture all-time highs,
which is quite a bit away, about 28%
higher, then I would look to potentially
take that off the table and look for
additional levels, right? Just because
this head and shoulders would be
negated, right? But this is something to
watch. And let's say it breaks over here
somewhere around this 950 region. Well,
you're going to have tremendous support
down here from this gap fill around this
750 level. Also nice psychological level
would be about a 20% drop. So we'll have
to see if we can have price action come
down and into there. A couple more
stocks for you guys. Nvidia. So Nvidia
had this beautiful head and shoulders as
well. But right but look what happened.
Came down and broke up and out of this
beautiful downs sloping trend line and
confirming above the previous neckline
of this head and shoulders pattern. So,
Nvidia potentially off to the races.
Well, I'm not so sure. A couple levels
that I'm going to be watching,
especially this week here on Nvidia,
right, is around the 218 to 220 level
gap fill for resistance. Additionally,
you have double top up here just around
236. So, these are some key levels to
watch on Nvidia. And something really
interesting to note, you know, although
Nvidia kind of fell behind while the SMH
continued to push to all new highs,
all-time highs, excuse me. If the SMH
can start to break down, maybe we see
Nvidia curl over as well. But as far as
just the chart, that head and shoulders
is done for me. I'm not interested in
this head and shoulders that came down
but failed to really break that much.
Had a decent fall, five and a half%, but
that's it for me.
All right, guys. Last thing I want to
talk about SKH Heinix uh before I go
into the uh the end of week next week
preview. So SKH Highix really really
interesting IPO. A lot of hype over
this. The South Korean semiconductor
industry, the hottest industry around um
was set to debut today and it did. And
honestly kind of disappointing kind of
flopped right. You saw initially it
debuted here at around 1134
hit a decent push up around 3.7%
falling down a bit and then continuing
to push higher at its peak around 177
but since then it played in and around
this parallel channel all day. And now
this is the one minute chart, right? So,
so you know, take it with a grain of
salt. However, it'll be interesting to
see how SKHEX continues to move into
next week as uh as the semiconductors
are looking like potentially due for a
fall if they can break this head and
shoulders pattern. With that being said,
we have a couple more things that we
want to look forward to next week. So,
Tuesday we have the June CPI uh data. We
also have earnings, bank earnings, guys.
We have JP Morgan, Cityroup, Wells
Fargo, Bank of America, and Goldman
Sachs all reporting before the open on
Tuesday the 14th of July. 15th of July,
Fed chair is going to make his first uh
testimony to the financial the House
Financial Services Committee. And then
finally, we have jobless ca claims on
Thursday with retail sales and Netflix
earnings as well as ASML and Taiwan
semiconductors. So, I know we've been
kind of in a lull the past few weeks as
far as market volatility, but now that
it's earning season starting to start
again, expect some more movement to come
into the markets. One more time before I
close it, guys. Thank you guys so much
for watching. My name is Lenho here with
Verified Investing, guys.
We have our sale, a massive sale going
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much for watching. That was a weekly
wrap-up, and I'll see you guys next
time. Please like, comment, and
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