Quantum Stocks: Riding the AI Wave and Photonic Breakthroughs

Quantum computing is increasingly seen as the next frontier in AI.  Firms like Quantum Computing Inc. $QUBT have developed room temperature photonic chips cheaper and more scalable than traditional qubit systems attracting bullish analyst coverage and retail momentum.  Rigetti Computing $RGTI secured millions of dollars in US Airforce contracts, and the Quantum World Congress amplified the buzz around the sector with acquisitions.  Investors have piled into quantum ETFs as a result of FOMO and massive trading spikes of volume confirm this. 

Investor FOMO and ETF inflows are real with the following eye popping one year returns in the Quantum related stocks.  A 30X return in a single year across multiple quantum stocks is a flashing signal that deserves scrutiny.  The parabolic price action has largely been driven by speculative enthusiasm rather than earnings or cash flows. 

30X Quantum Returns Spark Parabolic Price Action Amidst Investor FOMO

Nuclear Stocks as Energy Security and AI Infrastructure Plays

Nations and Tech giants are turning to nuclear as a stable, sovereign energy source.  Small modular reactors (SMRs) and fusion research have gained traction driven by geopolitical tailwinds.  Such is the case for the meteoric rises responsible for $OKLO $SMR $NNE amongst the $URA and $NLR ETFs.  If rate of change (ROC) remains elevated or continues rising, it confirms sustained momentum — not just a one-off spike which often leads to higher highs.

Tech Renaissance Meets Strategic Urgency – Use ADX in Scaling Out

Both sectors are benefiting from a “perfect storm” of breakthroughs that promise exponential performance gains and retail enthusiasm fueled by narrative of redemption and revolution.  While it’s easy to dismiss these as speculative bubbles, they’re also massive bets on rewriting the infrastructure of computation and energy. Macroeconomic backdrop in 2025 continues to be highly favorable for quantum computing and nuclear energy ETFs with several converging trends driving thematic momentum and investor flows.  We urge caution in calling tops even with their explosive growth in prices as we do not find the formation of tops just yet.  For tactical plays, we would smoothen the allocation response to volatility shocks by limiting exposure in this run-up through the use of proper scaling out via the ADX indicator.  If ADX is rising toward 50, it often confirms the trend is accelerating.  If ADX is falling from 50, it may signal trend exhaustion.  Use ADX to trim the sector appropriately if and only if ADX starts to drop, otherwise ride the trend as far as you can.

Nikki Yu Gillo, CMT is a Philippine Chapter Chair of the CMT Association.  She has over 20 years of experience working in Wealth Securities Inc. and runs a private investor community called Awesome10X. She can be reached at [email protected] 

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