Chart of the Day - Thursday, February 22, 2024
February 22, 2024
🏆 Today’s Chart of the Day was shared by Alfonso Depablos (@AlfCharts).
- Nvidia ($NVDA) carried the market on its back today, but it’s not the only stock that could sustain the current rally in the broader market.
- Advanced Micro Devices ($AMD) has become the 25th largest stock in the S&P 500 and the 10th largest in the Nasdaq 100. It’s no Magnificent 7 stock, but Alfonso points out it could bolster the indices.
- $AMD broke out to a record high today after spending the past month consolidating above its 2021 peak. It’s emerging from a 2-year base after recovering from a -65% drawdown. It’s resuming its long-term uptrend and the next Fibonacci extension is nearly +30% higher at $232.
The takeaway: Nvidia ($NVDA) is the market’s new messiah, but it's not the only game in town. There are fresher breakouts in progress that offer better risk/reward.