Good Monday morning. We’re beginning to witness a rare level of panic buying…pure melt-up action...yet as overbought as we may be (well into extreme OB on the VRA System) the bottom line is this market wants to keep going higher. To illustrate this extreme set-up, let’s take a look at the market leading semis (we own NVDA). We think this is instructive.

SMH (Semi ETF is currently 53% above its 200 dma, a level that’s been hit just twice in history. This is SMH’s widest gap to the 200 dma since March 2000 (as the dot-com bubble went parabolic). SMH first approached the 50% threshold above the 200 dma in January 1999…but it didn’t stop there….SMH then continued stretching, eventually reaching 110% above the 200 dma before the bubble began to burst. 

As we’ve been forecasting over the last 4 years, we expect to see many more extreme moves higher like this, well into the 2030’s. For our newer Members, our primary megatrend remains “The Big 3”; the Trump Economic Miracle (tax cuts, de...