Semis
China's DeepSeek triggered a broad AI infrastructure selloff, with Nvidia dropping 16% in the session as markets questioned the capex intensity required to run frontier AI models. The incident exposed how much of Nvidia's valuation rests on a 'more compute always wins' narrative — a narrative DeepSeek directly challenged.
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↓ SHORT-10% target+6% stop2-4 weeks
Fade the NVDA dead-cat bounce — DeepSeek efficiency narrative is a structural overhang that doesn't clear in days, and consensus is still 24 Strong Buys waiting to be trimmed.