Software sector
XSWcontinues to look weak- I haven't updated my
chart since mid December and it is looking even more pronounced
like a topping pattern. I would start changing my mind on a
weekly close above around 192.
I haven't been posting because I've been dealing with personal
matters but here's my thread from mid December about the Software
sector which is currently being destroyed by Claude AI (Schumper's
Creative Destruction). That head and shoulders topping
pattern is now very apparent.
hi Paul, imo, they all should be considered as a "weight of the
evidence" approach. It's ok to have a lot of indicators as
long as not all of them are collinear:
I consider all of them but realize that not all of them have to
check out perfectly in order to make my trading decision. The
markets are a "noisy" model. It is certainly not black or
white, but gray.
Software sector XSW continues to look
QBTS, RGTI
Posted by EricK on 14th of Jan 2026 at 12:52 pm
Software sector XSW continues to look weak- I haven't updated my chart since mid December and it is looking even more pronounced like a topping pattern. I would start changing my mind on a weekly close above around 192.
Software sector
Posted by EricK on 4th of Feb 2026 at 09:50 am
I haven't been posting because I've been dealing with personal matters but here's my thread from mid December about the Software sector which is currently being destroyed by Claude AI (Schumper's Creative Destruction). That head and shoulders topping pattern is now very apparent.
Erik - there are so
Posted by pmahoney on 14th of Jan 2026 at 12:56 pm
Erik - there are so many indicators on this chart, I'm not sure what we should be focusing in on. Thanks Paul
hi Paul, imo, they all
Posted by EricK on 14th of Jan 2026 at 01:05 pm
hi Paul, imo, they all should be considered as a "weight of the evidence" approach. It's ok to have a lot of indicators as long as not all of them are collinear:
https://breakpointtrades.com/blog/post/467963/
I consider all of them but realize that not all of them have to check out perfectly in order to make my trading decision. The markets are a "noisy" model. It is certainly not black or white, but gray.
Thanks Eric! I didn't see
Posted by pmahoney on 14th of Jan 2026 at 01:41 pm
Thanks Eric! I didn't see that post back then.