AMAT Potential Selling Opportunity

18 Okt 2023

The U.S. Department of Commerce announced Tuesday that it plans to prevent the sale of more advanced artificial intelligence chips to China in the coming weeks. The U.S. government says the new rules are intended to close loopholes that popped up after last year's restrictions on AI chip exports went into effect.

If the U.S. restricts or closes the leeway that allows Chinese companies to access American AI chips, it can disrupt the global semiconductor supply chain. Applied Materials is a key player in providing equipment and technology for semiconductor manufacturing.

A disruption in the supply chain or reduced demand from Chinese customers could negatively impact their revenue and stock price.

Cycle Sniper is about to send the sell signal on the weekly chart.

After a potential breakdown of the ascending trendline and closing below 130 $ , stock price may go to 122 $ and 110 $

Good Luck