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You can't ignore this anymore...
Arigato, dear investor,
Imagine a world where open-source AI rivals the giants like OpenAI. Well, that world just became a reality. đ
Chinese AI lab DeepSeek recently unveiled DeepSeek-R1, an open-source reasoning model that matchesâor even surpassesâOpenAIâs o1 in several critical benchmarks. The kicker? It costs a fraction of o1âs API priceâjust $0.14 per million tokens compared to $7.50.
đ„ The âRippleâ Effect: Markets React
The announcement didnât just make waves in the AI communityâit sent shockwaves through the stock market. On Monday, the news triggered a selloff, with Nvidia leading the decline. The uncertainty rippled across Wall Street, especially as Big Tech prepares for a busy earnings week:
But hereâs the good news: volatility doesnât have to be riskyâif youâre prepared.
Thatâs why tools like the Options 360 Indicator are very useful for me. It helps investors identify clear entry and exit points, so we can make confident decisions even during turbulent times. If you had access to the Options 360 Indicator, youâd have seen the red arrow signal appear days ago, giving you a heads-up to close short-term trades for a profit.
Short-term strategies like these can help you weather the storm, but what about the long term?
Letâs talk about Nvidia and the AI industry.
đ A Deeper Insight: Why This Isnât the End for NVIDIA
So what does this mean for Nvidia? Contrary to the âdoom and gloomâ narratives, this is actually a long-term win. đ
Hereâs why:
When the cost of AI development drops, more players enter the field. Think about it like the early days of computers. Back then, building a computer was prohibitively expensive and only accessible to governments or corporations. Fast forward to todayâthanks to advancements and reduced costs, computers are everywhere, driving innovation across the board. đ„ïž
The same logic applies here. As AI becomes more accessible:
More labs and startups will jump in.
More breakthroughs will emerge.
And these breakthroughs will require more powerful chips to push the boundaries even further.
Nvidiaâs advanced chips are already the backbone of AI research, and with AI development ramping up, demand for premium hardware is only going to grow.
So while the market reacts to short-term news, savvy investors understand the long-term potential. Nvidia isnât losingâitâs positioning itself for an even bigger leap forward.
Stay Ahead of the Curve
AI advancements arenât just shaping industriesâtheyâre reshaping markets. Whether youâre trading short-term opportunities or planning long-term investments, staying informed is essential.
Thatâs why I invite you to subscribe to the RunDown AI newsletter. Youâll get:
Weekly updates on groundbreaking AI advancements.
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Actionable tips to navigate uncertainty with confidence.
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On Another Note...
Happy Chinese New Year In Advanced! đđ§§
Arigato!
Chloe
Arigato Investor
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