The problem is that AMD has crashed severely on the stock market, same goes for Nvidia. I'm not sure if this means that the AI hype is over, I sure hope not, I have a $20.000 loss on these two.
Is that a genuine loss or a current value loss, which is obviously just a fiction loss as the shares can always rebound?
I would hesitate to say words like always when it comes to stock market. Nobody knows, really. Even big institutional investors think in multiple scenarios way and assign them probability. And don't even get me started on black swan events...
Yes correct, it was a paper loss and I got lucky, I went from a $20.000 loss to a $10.000 profit. Both AMD and Nvidia rebounded in the last few months, I was very busy trading, so that's why I wasn't active on WSF. Now the question is, if the AI (and crypto) hype will continue in 2026. To clarify, I sold all of my AMD and Nvidia shares, because I wouldn't be surprised if Wall Street will get a correction in the coming months. https://www.investopedia.com/terms/p/paperprofitorloss.asp
Yes, I got lucky this time. But trust me, it doesn't always happen, sometimes stocks never recover, or it might take years to recover. For example, I lost a lot of money with Zoom Communications and Roku years ago. Of course I wasn't that worried about AMD and Nvidia, because I had a feeling the AI hype wasn't over yet. Didn't expect them to recover this quickly though, because you never know on Wall Street. BTW, I could have also made a lot of money on Coinbase, but I sold too soon.