AI Holding the 1D MA200. Most optimal buy entry.C3.AI (AI) has been trading within a Channel Up pattern since the December 28 2022 market bottom. The previous Higher Low was priced while it was testing (and holding) the 1D MA200 (orange trend-line). This is the exact situation we have now, with the stoch trading at the bottom (Higher Lows trend-line) of the pattern, holding the 1D MA200 as Support. At the same time, the 4H RSI is showcasing a Bullish Divergence, being on Higher Lows while the price is on Lower Lows.
As a result, this is the most optimal buy entry, and as long as the price trades within the Channel Up, we will target $72.00 (+180% rise).
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C3ai
AI C3ai Options Ahead of EarningsIf you haven`t bought AI here:
Then analyzing the options chain and the chart patterns of AI C3ai prior to the earnings report this week,
I would consider purchasing the 30usd strike price Calls with
an expiration date of 2024-1-19,
for a premium of approximately $6.55.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
Complex pullback in C3.AI stock!On Monday, the bulls returned to the C3.ai stock following the signing of a new contract with a significant branch of the American military.
This development sent the share price of the AI specialist rocketing more than 8% higher so far this week, outperforming the week’s 1% increase in the S&P 500 index.
You can now spot a spring pattern after what Lance Beggs would describe as a complex double-swing pullback .
A daily close above $32 should be the beginning of a new rally to $48.
C3.AI stocks suppressed by the 1.618 level of the golden sectionC3.AI stocks suppressed by the 1.618 level of the golden section
This chart shows the weekly candle chart of C3. AI stocks for the past year. The graph overlays the low point at the end of 2022 against the golden section. As shown in the figure, the high points of C3.AI stocks at the end of May and July were precisely suppressed by the 1.618 level of the golden section in the figure, while the high point in June almost touched the short start level in November 2021! So for a period of time in the future, the probability of C3. AI stocks will probably rise again against the 0.618 to 0.809 positions in the golden section of the pullback chart!
C3.ai (AI) Looking Ready 4 Another ClimbI recon C3.ai have found another ladder to start climbing again after an inevitable lul in the market due to the initial 'hype' related to AI and c3.ai in particular had subsided only to leave the well known AI driven tech company to show why they are still a good investment through actual company performance as well as the fact that this week there was some good news from Oracle who gave AI stocks a boost, as the enterprise tech giant said strong cloud sales were being boosted by generative AI. That helped propel the broad market to a banner week, and C3.ai shares were up 24.4% for the week. So with all that inside info as well as the indicators on this chart you see here, Houston seems to be echoing in my analytical mind.
C3.AI: AI = SHORT - wyckoff distribution & bearish divergence1st - Bearish Divergence: RSI & MFI on 1D & 1W chart
2nd - Wyckoff Method: Distribution TR phase C (UTAD TEST) more pronounced in the 4&1H charts.
Analysis:
There seems to be weakness in the stock, and despite the recent highs and uptick in volume the exhaustion can be seen per the TA presented. BUT REMEMBER, the AI craze is still on going and this could be invalidated in minutes if the whales choose to push the price higher.
Targets if you trust the analysis:
Its pretty simple, I use fib retracement levels 21% and 38.2% as targets.
remember to use risk management and positioning!
*THIS IS NOT AN INVESTMENT ADVICE, JUST SHARING MY ANALYSIS AND INTERNAL THOUGHTS TO MYSELF*
2023.6.1 Will the stock price of C3.ai weaken in three weeks?2023.6.1 Will the stock price of C3.ai weaken in three weeks?
This chart shows the weekly candle chart of C3. ai's stock from its listing at the end of 2020 until now. The graph overlays the lines between the highs and lows of the past two years, the lines between the lows and lows, and the horizontal line of the strongest pressure level closest to the current stock price! As shown in the figure, the stock price of C3.ai began to rise in early May 2023 and has been closing positive for 5 consecutive weeks. After breaking through multiple pressure levels, it showed a standard form of releasing momentum by jumping short and opening high this week! In the next three weeks, there is a high probability that the rise of C3.ai will come to an end, retreat from the starting position of bearish positions in early April of this year, and then choose a new direction to break through!
AI C3.ai Options Ahead of EarningsAnalyzing the options chain of AI prior to the earnings report this week,
I would consider purchasing the 35usd strike price Calls with
an expiration date of 2023-7-21,
for a premium of approximately $6.20.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
AI is the meme of 2023. This is $AI stock. SimpleWith only a 3 billion market cap this stock has potential to rocket from retail money. Love the ticker. This stock has already had a huge rally this year and I expect it to continue and become a new meme stock of sorts, fueled by hype for the AI sector. Target is 109, the price it reached on it's IPO day.
AI, coming to lifeIf you find this info inspiring/helpful, please consider a boost and follow! Any questions or comments, please leave a comment! Also, check out the links in my signature to get to know me better!
In since $21.
Taking some off here and looking for a retrace to add.
At some previous consolidation now,
break this and $42 is the next congested area.
Hype can send this, hype has sent many things...that eventually came crashing down...
Cheers!
C3.ai 30% Gain in the next 11 daysOK Traders. Look at the Timed Cycles on the top of my chart and the trading pattern that AI has undergone since early February. I for one am not going to let this pass me by again. Likely by Wednesday I will take a large Position as the potential for a 30% gain within 11 days is very real. I firmly believe it's worth the risk for less than 2 weeks time. The Stochastic RSI appears to be confirming this as well with the same repeating pattern. This stock is Highly Manipulated so make sure you have set Trailing Stops on your positions. As well you can see where the potential top will be so be prepared to Short near the top if you are so inclined with your trading strategy.
AI, Reversal to the UPSIDE in order..AI is consolidating at 20-22 price levels -- a strong order block support which has been tested quite a few times already.
Net buying / accumulation has been spotted at the current levels forming 4H higher lows.
Expect a reversal to the upside from this price point.
Spotted at 22.0
TAYOR.
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LAST QTR results Jan 2023 for reference:
Jan 2023EPS beat by 72.57%
EPS (USD)
Expected
-0.22
Reported
-0.06
Surprise
72.57%
Revenue (USD)
Expected
64.25M
Reported
66.67M
Surprise
3.77%
AI - Running Away From The NazzyAn AI index, comprised of:
Shown in Blue
Google
Microsoft
NVIDIA
C3.AI
Nasdaq Shown in Orange
We see that they have broken away from the returns offered by the Nazzy Tech Index
Bottom of the Graph:
Spread between the above defined AI index and the Nazzy.
Has reached its All Time High..
Traders would have earned an additional 20+% by investing in the AI index in lieu of the Nazzy
Mind you, these companies have Zero additional profits resulting from AI, at this time.
How to profit from this?
Accepting ideas.
Market Manipulation? Kerrisdale's Actions Against C3.aiC3.ai's CEO Tom Siebel called out short seller Kerrisdale Capital for stock price manipulation in a recent Bloomberg interview.
The C3.ai stock has been caught in a whirlwind of controversy, with Kerrisdale Capital's short position, a critical report, and a letter accusing the company of accounting fraud at the center of it all.
Let's examine the inconsistencies, contradictions, and potential misleading information in Kerrisdale's report and letter, exploring whether these actions could constitute market manipulation under the existing legal framework.
Disclaimer:
Please remember that none of this constitutes legal or financial advice.
Market manipulation is defined as "intentional conduct designed to deceive investors by controlling or artificially affecting the market for a security."
The term encompasses a wide range of activities, including spreading false or misleading information, engaging in fraudulent or manipulative practices, and cornering the market.
In the United States, market manipulation is prohibited under the Securities Exchange Act of 1934 (Section 9(a)(2)) and the Commodity Exchange Act (Section 6(c)(1)). To learn more about the specific laws and regulations governing market manipulation, readers can refer to the following resources:
Securities Exchange Act of 1934: www.law.cornell.edu
Commodity Exchange Act: www.law.cornell.edu
SEC Guidelines: www.sec.gov
Market Manipulation in the US Explained: www.rahmanravelli.co.uk
A BIT OF BACKGROUND
C3.ai, a leading enterprise artificial intelligence (AI) software provider, has been at the center of a heated controversy involving Kerrisdale Capital, a prominent investment management firm. C3.ai aims to help businesses unlock the potential of AI and data analytics to drive growth and efficiency.
Kerrisdale Capital entered the scene by taking a short position in C3.ai's stock, effectively betting against the company's success.
In March 2023, Kerrisdale then released a scathing report that cast doubt on C3.ai's prospects, criticizing its growth rates, competitive positioning, and management. This report led to an initial decline in C3.ai's stock price of over 20%. However, the company's stock rebounded and even reached new heights in early April, posing a significant threat to Kerrisdale's short position.
In an attempt to reinforce their bearish stance, Kerrisdale published a follow-up letter in April 2023, addressed to C3.ai's auditor, Deloitte, and CC'd to the Securities and Exchange Commission (SEC). In this letter, Kerrisdale leveled serious allegations of accounting fraud against C3.ai. The publication of the letter sent shockwaves through the market, causing C3.ai's stock price to plummet by nearly 40%.
EXPOSING KERRISDALE'S DECEPTIVE TACTICS IN THEIR C3.AI ASSAULT
Let's dive into the inconsistencies and misleading information found in Kerrisdale's report and letter about C3.ai. By comparing these documents with C3's financial statements and relevant laws and regulations, let's investigate if Kerrisdale's allegations are unfounded and possibly manipulative.
Contradictory Revenue Growth Claims:
Kerrisdale's report acknowledges C3.ai's revenue growth (page 2), but the letter contradicts this by questioning the veracity of the growth figures (paragraph 2 of the letter). It is important to note that C3.ai's financial statements are prepared in accordance with US GAAP, which is subject to strict guidelines and external audits.
Unbilled Receivables Misrepresentation:
The report mentions the long product life cycle on page 13, which could contribute to the rise in unbilled receivables. However, in the letter, Kerrisdale questions the rise in unbilled receivables (paragraph 3 of the letter), seemingly disregarding the fact that they themselves acknowledged the long life cycle. According to ASC 606 (Revenue from Contracts with Customers) in the US GAAP guidelines, the recognition of unbilled receivables is appropriate based on the specific circumstances of a contract.
On page 2 of their letter, Sahm Adrangi writes, "With the company unable to invoice 30% of its reported revenue, which just so happens to come from a related party, how exactly are you as its auditor signing off on these financial statements?"
This statement demonstrates either a lack of understanding or an attempt at manipulation by Kerrisdale. Unbilled receivables do not imply that the company is unable to invoice the revenue. Instead, they represent amounts recognized under the terms of a contract but not yet billed to the customer.
As per the US GAAP guidelines, specifically ASC 606 (Revenue from Contracts with Customers), companies may recognize revenue over time, even if invoices have not been issued. This scenario is common when long-term contracts or projects are involved, and the unbilled amounts are expected to be invoiced in the future as the work progresses or upon meeting certain milestones.
By making such a statement, Kerrisdale misrepresents the concept of unbilled receivables and creates confusion among readers, potentially leading them to believe that C3.ai has questionable accounting practices. This misrepresentation supports the argument that Kerrisdale may have intended to manipulate the market perception of C3.ai negatively, ultimately benefiting their short position.
Flawed Competitor Comparison:
In the report (page 7), Kerrisdale compares C3.ai AI to Palantir and Snowflake, asserting that C3.ai's growth rates and valuation multiples are inferior.
However, these companies operate in different niches within the AI and data analytics market, with varying business models and target customers. This misleading comparison fails to provide a fair assessment of C3.ai's market position.
C3.ai, Palantir, and Snowflake each operate within the broader artificial intelligence (AI) and data analytics market but target different niches and offer distinct solutions.
When doing a simple Google search for Palantir and its competitors, C3.ai is, in fact, nowhere to be found. Here are some short summaries of the three companies.
C3.ai:
Niche: Enterprise AI and IoT applications
C3.ai focuses on providing AI-based software solutions for enterprise clients, with an emphasis on IoT (Internet of Things) applications. Their platform, C3 AI Suite, enables organizations to develop, deploy, and manage large-scale AI applications for a wide range of industries, including energy, healthcare, manufacturing, and financial services. C3.ai aims to help businesses accelerate their digital transformation and improve decision-making processes using AI and machine learning.
Palantir:
Niche: Data integration and analytics for government and commercial organizations
Palantir specializes in data integration, analytics, and visualization software for government agencies and large commercial organizations. Their two primary products, Palantir Gotham and Palantir Foundry, are designed to help organizations integrate, manage, and analyze vast amounts of data from disparate sources. Palantir's solutions are particularly popular in sectors like defense, intelligence, law enforcement, and cybersecurity, where the company has a strong track record.
Snowflake:
Niche: Cloud-based data warehousing and analytics
Snowflake offers a cloud-based data warehousing platform that enables organizations to store, manage, and analyze structured and semi-structured data. Snowflake's unique architecture allows for easy scalability, high performance, and seamless integration with various data sources and third-party services. The platform is particularly well-suited for businesses looking to transition their data infrastructure to the cloud and take advantage of modern data analytics tools.
In summary, while all three companies operate within the AI and data analytics market, they target different niches and offer distinct solutions. C3.ai focuses on enterprise AI and IoT applications, Palantir specializes in data integration and analytics for government and commercial organizations, and Snowflake provides a cloud-based data warehousing and analytics platform.
MISLEASING MARKET PENETRATION ASSERTION:
On page 11 of their report, Kerrisdale directly mentions C3.ai company's age when referring to their alleged sub-par customer base: "...after being in business for over twelve years."
This statement could be construed as manipulative or misleading. Kerrisdale's focus on C3.ai's age and customer count in comparison to Palantir and Snowflake, while intentionally not mentioning that Palantir has been in business for 20 years and Snowflake for a comparable 12 years, might give readers a false impression that C3.ai has underperformed relative to its competitors.
The actual differences in customer counts are not as substantial as the comparison suggests, considering the age of the companies. By not providing a complete context, Kerrisdale may intentionally mislead readers into forming a negative perception of C3.ai's performance and growth potential, which can be seen as manipulative.
The aforementioned inconsistencies and misleading information, when combined, paint a picture of either incompetence or deliberate manipulation on Kerrisdale's part. By misrepresenting facts, Kerrisdale may have intended to influence market perception of C3.ai negatively, thus benefiting their short position.
Market manipulation is illegal under the Securities Exchange Act of 1934 (Section 9) and related SEC rules. Specifically, Rule 10b-5 states that it is unlawful to make untrue statements or omissions of material facts in connection with the purchase or sale of any security.
A CLOSER LOOK AT INTENT
Let's analyze the intent behind Kerrisdale's actions when they published the report and letter about C3.ai.
Unsupported Allegations and Cherry-Picking:
The letter contains allegations of accounting fraud without providing concrete evidence or a thorough analysis. Instead, it selectively highlights specific data points and aspects, potentially ignoring or downplaying counterarguments or positive aspects of C3.ai's financials.
The Use of Strong Language and Rhetoric:
The language used in the letter, such as terms like "accounting fraud," might be interpreted as an attempt to evoke strong emotions and reactions from readers, potentially causing them to sell their shares and further drive down C3.ai's stock price.
Timing and Market Impact:
Kerrisdale published the letter to C3.ai's auditor, Deloitte, CC'ing the SEC, shortly after C3.ai's stock had regained its value following the initial report. The stock lost over 20% after the release of the report on March 6th but quickly regained value and was reaching new heights (and therefore endangering Kerrisdale's short position in the stock) when Kerrisdale published the letter.
This publication led to an almost 40% drop in the stock's value, significantly benefiting Kerrisdale's short position. The timing of these publications hints at a calculated effort to manipulate the market and profit from the resulting panic.
Misrepresentation of Competitors and Customer Growth:
Kerrisdale's misleading comparison between C3.ai, Palantir, and Snowflake can be seen as an attempt to create a false impression of C3.ai's performance.
By emphasizing the differences in customer counts without providing proper context or acknowledging the distinct niches of each company, Kerrisdale intentionally leads readers to form a negative perception of C3.ai's growth potential.
These companies have different focuses within the AI and data analytics market, making the comparison potentially misleading.
This manipulative tactic could be intended to drive down the stock price and benefit their short position.
Inconsistencies in Understanding and Presenting Financial Data:
Kerrisdale's misinterpretation of unbilled receivables, and their contradictory statements in the report and letter, can be perceived as either incompetence or a deliberate attempt to mislead readers.
Raising concerns about unbilled receivables in the letter while providing a possible explanation in their own report, might be interpreted as an attempt to manipulate and mislead readers.
This could be seen as incompetence or a deliberate effort to confuse readers who may not be familiar with US GAAP, leading them to believe that something unusual is happening with C3.ai's financials.
CONCLUSION
The inconsistencies, errors, and misinformation found in their publications, coupled with the timing and market impact, make it certainly not seem impossible that Kerrisdale's intent in publishing the report and letter about C3.ai may have been to manipulate the market, capitalizing on the resulting stock price fluctuations and protecting their short position.
Sources:
C3 Financial Data:
ir.c3.ai
ir.c3.ai
ir.c3.ai
ir.c3.ai
Kerrisdale Capital's report and letter:
www.kerrisdalecap.com
www.kerrisdalecap.com
Bias more on upside for C3.ai1st April 2023
Bias more on upside till Resistance area. ($42-$52)
Huge jump up last Friday with 21% increased.
Thanks to Kerrisdale Capital who Shorted C3.ai (AI) Shares mentioned on 29 March 2023.
Assuming the price high on 29 March is at $26, they will be in trouble as for now.
Assuming if they cut their losses by buying back C3.ai price from the market, they are truly experience short squeeze. Seller turn buyer fueling more oil for the bull this time round.
This may be a reason to shoot up C3.ai on last Friday.
AI. The beginning of “Singularity”. 6/March/23.A.I ( Artificial Intelligence ). It took >150 years for “our great grandparents “ to “imagine” how could we “flying” on the sky. It probably took > 30 years for our parent to “imagine” WT.. is “Internet” useful for?!.. AND we probably can’t “imagine” that A.I robot could be each household’s “housewife/househusband” in just 5-10 years!?”..
Bias more on upside till target price5th March 2023.
Congrats to whoever bought into this counter when I shared on the 12 Feb 2023.
Will continue to hold till IPO price at $42.
For people who didn't enter into this counter, you risk may double up if you wish to chase into it next week. Plan for a better price to enter.
ChatGPT will be the game changer.Reason to invest into ChatGPT
1. Microsoft invested over $10billion into ChatGPT
2. ChatGPT sets record for fastest-growing user base .
(Feb 1 (Reuters) - ChatGPT, the popular chatbot from OpenAI, is estimated to have reached 100 million monthly active users in January, just two months after launch, making it the fastest-growing consumer application in history, according to a UBS study on Wednesday.)
It took TikTok about nine months after its global launch to reach 100 million users and Instagram 2-1/2 years, according to data from Sensor Tower.
3. ChatGPT has finally make their product workable and catch Microsoft and the world attention. Company such as Google, Baidu, Tencent (wechat) all started to sing into the same AI trend. FOMO from investors may start to pour in soon.
4. Even though price have increased from $10 low to recent $30 high, but it never too late to join the party. If you are still holding onto Meta waiting for Metaverse (which not yet ready), why not try this ChatGPT.
5. Base on chart, few price level to do DCA if you have invested in. ($22, $20, $18, $15)
6. Lastly, I have entered into it and prepare to do DCA along the way.