OpenAI files for a massive IPO — buy the AI chipmakers powering the boom
Thesis
The company behind ChatGPT is getting ready to sell shares to the public, which has investors excited about the entire AI industry again. This kind of massive event usually lifts the stocks that supply the 'picks and shovels' of AI — specifically the chipmakers. As OpenAI races to the stock market alongside SpaceX, money is flowing back into the tech sector. Buying the major AI hardware companies is a solid way to profit from this industry-wide wave.
Strategy approach
Build an entry strategy for NVDA and AMD on the Daily timeframe. Go long when the 5-day simple moving average (SMA) crosses above the 20-day SMA (Golden Cross), and the MACD(12, 26, 9) histogram prints a positive bar. Set a hard stop-loss at 4% below the entry price. Hold for up to 15 days or until the 5-day SMA crosses back below the 20-day SMA.