20-Year Pro Trader Reveals His "MoneyLine"
Ditch your indicators and use the "MoneyLine". A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.
On CNBC's "Trading Nation," Matt Maley of Miller Tabak spoke about the semiconductor stocks. He has been bullish on the sector since the last spring, but now he expects to see a pullback. Maley thinks the semiconductor stocks are overbought as PHLX Semiconductor Sector (NASDAQ:SOX) is trading with a 98% premium to its 200-day moving average.
Taiwan Semiconductor Mfg. Co. Ltd. (NYSE:TSM) has the biggest weighting in the VanEck Vectors Semiconductor ETF (NASDAQ:SMH) and it's also overbought as its RSI index is at 90, explained Maley. He would take some off the table and try to buy at cheaper levels.
Nancy Tengler of Laffer Tengler Investments agrees the semiconductors are due for a pullback and if it happens, she would add more funds to Lam Research Corporation (NASDAQ:LRCX). She would also take a closer look at Intel Corporation (NASDAQ:INTC) because it has great new management. The management change in Intel is going to be bullish for Taiwan Semiconductor because the new CEO could outsource more to the company, said Tengler. She thinks this is also bullish for Lam Research.
20-Year Pro Trader Reveals His "MoneyLine"
Ditch your indicators and use the "MoneyLine". A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.
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