ReshapeTech

This hand-drawn chart is over 90 years old. Jesse Livermore sketched it in the 1930s to show his students how every speculative stock moves through the same numbered phases: – Points 1–4: Accumulation cylinder, smart money quietly buying – Points 5–7: The all-important action, breakout, volume, the rally begins – Points 8–13: The test before selling short, final euphoric peak, lower high – After 13: Distribution and collapse Look at where we are right now. Micron, SanDisk, the DRAM ETF, Oracle, SMCI, AppLovin, Nvidia – all sitting somewhere between points 8 and 10. Vertical moves. Record volumes. Headlines turning euphoric. Palantir is further along. Maybe 12 or 13. The phase Livermore literally circled and labeled "test before selling short." This is where the most money is made in the shortest time in any market cycle. Bull markets are won in this zone. Life-changing returns are compounded here. But it is also exactly the phase where Livermore lost three fortunes. Because the same energy that drives a stock from point 8 to point 13 quietly pushes it past 13. The setups today are real. The opportunities are real. The money being made is real. The sell rules still apply. – Trim into strength, not weakness – Take partial profits at the 20–25% mark – Cut losses at 7–8%, no exceptions – Watch for the climax run signature Make money on the way up. Just don't give it all back on the way down. Livermore wrote the rulebook on this. He still ended up broke. The chart never changes. Because the chart isn't drawing the stock. It's drawing the people who own it.