AI Stocks Could Supercharge Next "Melt Up" Frenzy After Fed

For traders obsessed with the rapidly evolving AI revolution, the ingredients behind one of the rarest and most explosive market phenomena may be falling into place just as the hot AI trade is heating up. ͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­͏   ­ AI Stocks Could Supercharge Next "Melt Up" Frenzy After Fed [Luke Davis's AITickers.com](luke933) Sep 16 luke933 For traders obsessed with the rapidly evolving AI revolution, the ingredients behind one of the rarest and most explosive market phenomena may be falling into place just as the hot AI trade is heating up. We're talking about the "melt up" - an exceptionally rare breed of speculative frenzy where assets become completely untethered from fundamentals. Driven purely by psychological forces like fear of missing out (FOMO) and unbridled greed rather than revenue models or P/E ratios. --------------------------------------------------------------- Sponsor [Transform Your Portfolio: Discover the Top AI Stocks of 2024]( Recently, Google announced a revolutionary AI model set to transform industries from healthcare to finance. Additionally, AI-driven innovations in autonomous vehicles and smart cities are gaining traction, signaling a bright future for AI investments.  Gain valuable insights and expert advice with just a single click! --------------------------------------------------------------- Not just a routine bull market, but a compressing time window marked by powerful vertical price spikes. Where triple-digit, quadruple-digit or even higher percentage gains become common - even among companies with dismal financials or minimal revenues. Only a Handful of Occurrences These true melt up events have occurred just a handful of times throughout market histories, like the late 1990s tech bubble and 2017 crypto craze. While new fortunes were certainly minted, most players ended up giving back all their gains and more once gravity violently reasserted itself. The Accelerant: Easy Fed Money In each prior cycle, the crucial accelerant that enabled a bull market to devolve into a full-blown melt up mania was aggressive monetary stimulus from the Federal Reserve. Chaotic rate cutting binges and liquidity injections feed the "Buy Everything" investor mindset that allows valuations to become unhinged. AI Stocks Could Supercharge It This time around, the nascent AI revolution and frenzy around frontrunners like Anthropic, Nvidia, and Microsoft could act as an explosive accelerant if easy money policies return. An overly dovish Fed pivot would embolden the most rampant speculation by slashing borrowing costs. Corporations would then inevitably respond by ramping up debt-funded buybacks and AI investments. Cash traders would lever up to chase momentum - exacerbating pricing distortions across AI assets. --------------------------------------------------------------- Sponsor [The Biggest Financial Event of 2024? (31 Billionaires Moving Their Stocks) [Full Story >>]]( [WATCH NOW >>]( --------------------------------------------------------------- Melt Up Signals Are Flashing Beyond the easy money wildcard, other quintessential indicators that preceded prior melt up peaks are already emerging: - Frenzied trading in AI/tech stocks and crypto - Classic technical patterns signaling melt ups - Record low equity allocations signal cash awaiting deployment - Excessive bullish/euphoric sentiment saturating online AI communities The Fed's Critical Role With fed funds futures pricing in a 75% chance of at least a 50 basis point rate cut this week, the stage appears set for a melt up scenario across AI assets - if not now, then over the coming months should cuts or liquidity keep flowing. Disciplined Risk Management Key While the potential to mint fortunes overnight is tantalizing, disciplined risk management with defined profit-taking plans will be critical. Historically, most players failed to preserve any windfall gains when rationality inevitably returned. Whether the Fed provides the accelerant this week or merely keeps the fuse lit, all signs are pointing to an period of highly speculative AI trading ahead. Properly hedged participants could be handsomely rewarded if played right. YOU NEED TO WATCH THIS NOW [Seven unknown AI stocks that could DOMINATE the next six years.]( The original “Magnificent Seven” stocks generated 16,800% over the last 20 years. But now a new set of AI stocks is set to take over. [Full Story >>]( [WATCH NOW >>]( © 2024 AITickers.com 428 South Main St, Suite B, Unit #1057 Davidson, NC 28036 [Unsubscribe]() [Get the app]( writing]()