NVDA NVIDIA and META Meta (Facebook) Weekly Charts; Overbot; Negative Divergence in Play or Developing for the "Tan-Mama" ("Magnificent 7") Stock Market Leaders

The stock market rally is driven by only 7 stocks. Bloomberg calls this group the "Magnificent 7" but Keystone calls them the "Tan-Mama" stocks (Tesla-TSLA, Apple-AAPL, NVIDIA-NVDA, Microsoft-MSFT, Amazon-AMZN, Meta-Facebook-META and Alphabet-Google-GOOGL). It is summer after all and Mama and the other beautiful and lovely ladies are tanned and toned displaying their colorful bikinis.

The AI orgy creates the big rally in the stock market the 7 stocks above accounting for most of the gains. Other equities languish in no man's land wondering when the recession ax will fall on their heads. NVIDIA ignited the AI frenzy move in stocks so it would make sense that it may top out first.

The NVDA weekly chart above shows price printing matching or higher highs for the last 5 weeks. The chart indicators can then be assessed for potential negative divergence and the red lines show universal neggie d across all indicators. She's cooked on the weekly basis.

NVDA is expected to top-out now since there isn't any more fuel available to push price higher. News may come out of left field that helps the stock but it would then set up again with neggie d in quick order. A multi-week down move is about to begin in NVDA so if you just bought the stock and was bragging to family and friends at the cookout about how smart you are, and perhaps you are the next Jesse Livermore, instead you will look like an *sshole in a few weeks.

The META (Facebook) weekly chart is shown above and it is setting up with neggie d in the weekly time frame. Price is making higher highs week after week but note that the chart indicators are out of gas (red lines) sloping down (neggie d). The MACD is a tiny hair higher so it has some fumes to try and push price back up but the writing is on the wall like NVDA. META will top out now or next week and then begin a multi-week down move.

That is 2 of the 7 that are cooked on the weekly basis going forward so we may as well check the rest of the Tan-Mama's. NVIDIA is the Leader of the Pack and the others should follow. TSLA is similar to META in that it has a week or 2 to top-out and begin its multi-week slide lower. AAPL topped-out 2 weeks ago, however, if you bring up the weekly chart, you see that the MACD line was still long and strong, so Sapple likely has another 1 to 2 weeks for price to come back up and for it to top-out and begin the multi-week move lower.

Mr Softy was also a leader, along with NVDA, and MSFT has topped-out. There is no reason for it to come up again on the weekly basis. AMZN needs the additional week or 2 to top-out since the Scamazon MACD line is still long and strong. Wow. Alphabet (Google: GOOGL) has already sh*t the bed and in a 2-month drop trending lower on the weekly basis.

Summing up, all of the Tan-Mama's, that have led the way higher the last few months, off the October low, are topped-out, or topping-out, on the weekly basis, within the next couple weeks and beginning a multi-week drop lower. GOOGL leads the way lower on the weekly basis followed by MSFT and NVDA. The other Tan-Mama's, TSLA, AAPL, AMZN and META, are also topping-out over the next week or two and will begin their multi-week downward slide. Plan accordingly. Keystone does not own any of the Tan-Mama's long or short but obviously would enter short if any are played. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.