AI’s about to take a backseat to this trade...

I expect money to rotate out of red-hot AI stocks and into this sector… [Justin Spittler's Trade of the Week] AI's about to take a backseat to this trade... It’s cool-off time for the hottest trade on the planet. Last year, artificial intelligence (AI) was the trade. Names like Nvidia (NVDA) and Super Micro Computer (SMCI) delivered massive gains within a matter of months. I expect AI stocks to be the biggest winners over the next few years. But I think they’ll take a backseat to other industries for the next few months. In other words, I expect money to rotate out of red-hot AI stocks in the near term into other areas, including energy and basic materials. That brings me to my latest Trade of the Week: Nucor Corp. (NUE). Nucor is America’s largest steel producer and the largest publicly traded steel stock. It has a current market value of $46 billion. We’re picking up shares of NUE today to capitalize on the coming rotation into basic materials. NUE also has an incredible chart. You can see what I mean below. NUE has been trending higher since the fall, and it’s on the verge of a major breakout: Source: StockCharts I suggest picking up a half position in NUE today. I believe it can hit $250 within the next 12 months. Exit your position if NUE closes below $179. That gives us a risk/reward ratio of 4:1 on this trade. Action to take: Buy NUE at current market prices. Risk management: Exit your position if NUE closes below $179. Justin Spittler Chief Trader, RiskHedge If someone forwarded you this email and you would like to be added to our email list to receive Justin Spittler's Trade of the Week every week, [simply sign up here.]( This email was sent to {EMAIL} as part of your subscription to Justin Spittler's Trade of the Week. To opt-out, please visit the [unsubscribe page](. [READ IMPORTANT DISCLOSURES HERE.]( YOUR USE OF THESE MATERIALS IS SUBJECT TO THE TERMS OF THESE DISCLOSURES. Copyright 2024 RiskHedge. All Rights Reserved RiskHedge | 1417 Sadler Road, PMB 415 | Fernandina Beach, FL 32034