The selloff Tim Knight has been calling showed up fast, with the Nasdaq flipping from solidly green to sharply red inside the first hour and the NQ breaking support for the first time, back to early May levels. His bigger warning is what sits underneath: an AI trade he likens to a house of cards in the ionosphere, one wrong stumble from trouble.
He points to circular financing in the space, including a report that a major chipmaker would backstop hundreds of billions for an AI data center buildout, plus semiconductors breaking down and SpaceX at fresh lows into earnings and its August lockup. He is not touching energy despite a crude failed breakout he thinks wants higher. All views are his.
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Chapters
00:00 Trusting the charts in the selloff
00:5...