Sunday, May 17, 2026

US stock market digesting huge gains....

US stock market finally decided to take couple of days rest....

After making series of new all time highs, It was time to take a well deserved break...

So we shed few % of lofty gains which is needed every so often....

Friday's action was typical of momentum driven market...which corrects in a hurry as IF sky is falling...

NO...sky is not falling, just a " normal day in office "

We should resume our run into " series of new all time highs AGAIN "

Leaders are well defined by now.....

Follow the leaders.....

Here is how my last week ended :

Last week Down 30.74%

YTD               UP 38.72%

Here is my weighting on 167% exposure :

SLVR                   26.90%

SNDU                  23.08%

AMDL                  20.18%

AAOG                   9.49%

QCML                   8.21%

TSLL                     6.72%

HOOD                   5.42%

BLOG does NOT give buy or sell.

Saleem


25 comments:

stocktrader_1996 said...

Hi Saleem/SImon,

Tried to sell some TZA this morning @ 5.04 and missed the brief moment it was there. Wanted to re-establish my RKLB position. Got some 170 weekly calls for $0.39 in case it spikes out but I really wanted the position instead. I think as SpaceX/xAI nears and looking at a $2T valuation, the only other viable rocket player might get sympathy/alternative flows.

Stocktrader

Stock Rookie said...

Hi Stocktrader,
Thank you for the information and good luck with RKLB option.

Sold my PSNL @7:10 to raise cash.

Simon

stocktrader_1996 said...

Nice to get out of PSNL on a pop!

Stock Rookie said...

Wish I know how to play option :-(

stocktrader_1996 said...

Ok, finally got this done!

Sold partial TZA @ 5.14
Bought RKLB @ 127.34

Stocks100 said...

Hi Stocktrader,

Good luck with RKLB

Saleem

Stock Rookie said...

Good luck with RKLB..

stocktrader_1996 said...

Hi Saleem,

Last week: +2.57% (YTD: -5.35%)
Portfolio Leaders: ENPH(sold) GLUE(sold)
Portfolio Laggards: BFLY CODA

The small caps remained under pressure as rates jumped to new yearly highs, and a pause in the red-hot semiconductor industry hit the averages. The portfolio performed okay due mostly to ENPH, a nice winner in the mix. There is a lot about the market that is confusing: sometimes oil matters, sometimes overstretched stocks just keep going, sometimes inflation and rates matter. Overall, it's still about the earnings power of companies and that's what's led us to some outsized gains in some areas, but they deserve it for now. It is easy to think about what could go wrong and over-complicate what could otherwise just be great returns - I think the market has shown us a lot of that since the covid era. For now, we keep an eye on forward prospects and invest in those companies that have more revisions higher to come (if we can see that). On the flip side, a lot of the AI buildout trade is crowding out smaller investments and ideas and some stocks with good prospects just aren't seeing flows to drive them higher. I don't know when or if this will change, but it can be frustrating to have to look at the same set of stocks just jumping every day, leaving the rest behind. I think inflation continues to creep higher as the insatiable demand for materials into the AI buildouts, including semiconductors and memory but also energy and raw materials, is creating a crunch for many supply chains. We may see even more stockpiling at the corporate and governmental level, like we have with oil, that could create short term bottlenecks and much higher prices. I hope to play these themes but also be wary of them as any pauses in AI buildout (due to public backlash most likely) could bring the whole complex crashing down. My strategy for now is to try and stay hedged while interest rates are moving higher but also play in some thematic stocks.

Holdings: TZA(27%) RKLB AMAT FCX CODA NNOX BFLY ASPI, cash 0%

Stocktrader

stocktrader_1996 said...

Hi Saleem,

Sold AMAT @ 410.64
Bought more TZA @ 5.15

I am truly afraid of a semiconductor investment right now as public opinion towards data centers is DRAMATICALLY shifting and may become the primary feature of the mid-term elections. Still though, AMAT is a relatively safe semiconductor but I needed to raise cash for more TZA as interest rates just continue to rise.

Stocktrader

Stock Rookie said...

Good luck with more TZA..

Stocks100 said...

Hi Stocktrader,

Good luck with more TZA

Saleem

stocktrader_1996 said...

Hi Saleem,

Sold TZA @ 4.86

As evidenced by today's move, the risk for the market is still to the upside, and so a hedge isn't appropriate and just good stock picking should work.

Bought ENPH @ 53.23
Bought AEVA @ 20.87

Two stocks with great future prospects and also relative strength, they seem to have more room to run. Solar power and battery technology should be a major part of the datacenter energy problem, whether it be on the ground or in space (ENPH). And AEVA's 4D LiDAR technology should start to infiltrate most devices like cars, drones, and robots that need to "see" their surroundings to navigate.

Stocktrader

stocktrader_1996 said...

Added 20% to ASPI @ 5.23 as it was underweight.

stocktrader_1996 said...

Added 10% to FCX @ 60.79 on the copper rebound

Stocks100 said...

Hi Stocktrader,

Good luck with ENPH AEVA & more ASPI FCX

Saleem

Stock Rookie said...

Hi Stocktrader,
Good luck with the old favorite and more ASPI FCX

Simon

stocktrader_1996 said...

I have one position size cash left now. I'm hoping an opportunity presents itself.

stocktrader_1996 said...

RKLB after hours @ $128 seems like an amazing idea on the announcement of an ATM offering

Stock Rookie said...

Hi Salem & Stocktrader,

I did bought back RKLB ah @125

Simon

Stocks100 said...

Hi Simon,

Good luck with RKLB….

Saleem

stocktrader_1996 said...

Great catch!

stocktrader_1996 said...

Hi Saleem,

Bought BODI @ ~10.60 over 10 transactions (took me most of the day)
Added small to RKLB @ 124.28 with remaining cash

Stocktrader

stocktrader_1996 said...

BODI is using its name brands in fitness to start nutrition/supplement lines and drive people to its app ecosystem. It is early in this transformation, but the company has streamlined the cost structure, so any positive execution will translate well to profits. After the latest earnings reports, price targets were raised as the company moves forward on its plan.

Stock Rookie said...

Hi Stocktrader,
Good luck with BODI

Simon

Stocks100 said...

Hi Stocktrader,

Good luck with BODI & more RKLB...

Saleem