The Big 3: NVDA, BE, SPCX

Marlee Caden (0:03)

Welcome back to Trading 360 I'm Marlee Caden. It's time for the big three. We've got three stocks and three charts for you today. Rick Ducat taking us through those charts. Here to take us through the trades is Tim Bohen, the Chief Technical Trainer for stockstotrade.com. Tim, great to talk to you, and it's not even on a Friday. So we've got data for you today. We've got inflation in a picture that's a little better than expected. So how are you looking at the results that we got today and the reaction?

Tim Bohen (0:30)

You know, again, obviously, you know, it's nice to see a less bad number. You know, we're kind of conditioned to constantly seeing every data point kind of come through as a negative.

Again, you know, I'm not blown away. It's nice to see something that wasn't like a train wreck. So I'm encouraged by that.

And the market, hey, at the end of the day, all we really care about is the market's reaction to that. And looking pretty positive today. And, you know, when it comes to the overall markets, I really enjoyed Dale's segment. I feel like he stole my homework. You know, he was talking about Cat. I was gonna talk about Cat and their expansion. You know, all of the productivity gains coming from AI, you know, very, very consistent with my message that I've been talking about. And the one thing that, you know, I think it's always important to have a debate. The one thing that Dale did mention is, you know, this extreme high concentration in AI stocks. And, you know, they're basically supporting the entire market at the time. And, you know, he was a little concerned with that. And I appreciate that viewpoint, especially to people that are a little bit more longer term investing, more exposed. What I do is, you know, almost exclusively short term trading, whether that be day trading or swing trading. And I like these environments. I like when there's very high concentration in the market because it makes it really clear what to trade in the short term. Now, again, I know I might be different from a lot of the guests that are, you know, taking a longer read. But if you're a day trader or a swing trader, this is a target rich environment because it really makes it clear what stocks to trade because it's really, when you run the scans and you look at the charts, stuff just keeps showing up over and over again. And all three of the ideas I have today are repeat ideas, but I love all three. Last comment I'll make, Micron, I obviously will be paying very, very close attention to that. I expect them to have a blowout report. Now we'll see how the market reacts to that. As always, Dale mentioned, you'll always be cautious in the earnings because they can have great numbers. But if the market's disappointed, the stock sells off. But I expect them to be like, we can't make enough memory, we're backed up for years and years and years because all of these hardware plays that I've been talking about all year are buying everything we have. So if you trade my style, heavily concentrated, love this market, I agree with this 8,000 target. I mean, I think especially we get past midterms.

As long as nothing too scary happens, we can't predict the future. I think 8,000 is very conservative by the end of the year.

Marlee Caden (3:23)

Tim, thanks for highlighting that to your approach being different from taking a long-term investment thesis. Because when we're talking with you, it's about trading and short-term trading and what you're looking at in the very, very near term as opposed to what you're holding long-term. Although I suppose there's probably an argument for your first pick in the big three that it is a near-term trade, but also likely a long-term hold for you. So take us through Nvidia and how you're looking at Nvidia right now.

Tim Bohen (3:48)

You know, it's just hard not to absolutely love Nvidia. You know, because of Jensen Wang, I mean, you know, I know I've been, I'm like the open source AI guy. I talk about it pretty much every week. I mean, we see what, you know, Dario and Sam Altman, OpenAI and Anthropic have been doing. And you know, Nvidia is taking that different approach. Now, obviously Nvidia and OpenAI, or I'm sorry, OpenAI and Anthropic need Nvidia.

But you know, Nvidia is just like, hey, we just want to power it. And it just reminds me what's so exciting about it, is you know, I lived through the PC era. My first business was actually building PCs. I know that might sound weird in these days, but we used to bolt them together, custom order and everything. And you know, whether it be DOS, and you know, DOS was, Microsoft DOS was like this way that made the computer accessible to everyone. Then of course Windows, you know, Windows 3.1.1 particularly, you know, it took off Windows 95, so on. And all of these hardware providers, they were like, hey, we don't care what operating system you run, just buy our hardware. And we know that that is Nvidia. And I just love the way that Jensen Wang is approaching it, is just saying, hey, we're going to support everything. We're going to power this move. And again, Rick will probably call me out. I still haven't bought my DGX parts, which I should have, because they're all about $2,000 more from the first time I talked about it. But that just shows the demand for, whether it be the consumer, the prosumer, or obviously the commercial enterprise. I mean, you look at America.gov. I mean, this is just something to be so excited about. I mean, I've never seen this at any point in my life, where basically all of this disaster of government websites and services and stuff are all being brought together using AI. I mean, this is just an incredible time to be alive, is all I have to say.