It looks like this AI ETF has a real emotional crowd selling all the AI stocks! Just goes to show that emotion has the ultimate power. The top has one wave position missing and by doing that, I am breaking my own ‘Law” so to speak, leaving an uncapped 5th wave. I couldn’t fit it in, but this is also Cycle degree wave 3 when a potential Primary degree zigzag bear market could also develop. The sloth of smart bears have taken over and there is no amount of bullish jargon that will turn a trend, that still needs to finish. This could sync up with the stock market very well as a potential wave 2 counter-rally.
I have no real Gold/BOTZ ratio profile made up but I still have to back-check the extreme ratio. Today this ratio sits at 64.26:1 but this could still spread much further by the end of the year. No amount of ratio calculations will help here, as we have no real knowledge how pumped-up the AI stocks really were! BOTZ could suffer the same bear market length as stocks, which I expect to end sometime in 2022. When solar cycle #25 starts up in sunspot activity again, I’m sure all the companies inside the BOTZ ETF are going to get energized. Only time will tell if this keeps heading south but another sideways correction should happen by the end of this year.
As much as I’m bearish on BOTZ now, that will end once solar cycle #25 sneaks up on us! The start of solar cycles are bear terminators, so this is when you can witness and feel the mood change along with the sun morphing into SC#25.
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