Weekend Warnings Ring True, VIX Spike Triggers Market Downturn

DJI, NDX and NVDA were also showing weakness. Analysis of AMZN & META breakups, Last line of defense for TSLA & AAPL. Context for DXY, BTC, DAX, STOXX and more.

Last weekend's most critical chart was the VIX, which, based on the indicator analyzed in the second "Level Up Your Trading" edition, anticipated a significant market move.

This signal proved accurate, the VIX's surge above the key mentioned level of 14.5, triggered a market decline, even impacting the previously healthy-looking IWM small caps. Many charts, including the Dow Jones, Nasdaq 100 and NVDA were approaching annual resistance levels with technical indicators flashing bearish signals.

Bright Spots & Caution:

• GDX and Crude Oil remain in a bullish run, although this week's edition highlights potential signs of overheating in these markets.

• While the key annual S/R level for Bitcoin is holding for now, remember that frequently tested support/resistance zones can break at any time.

Deeper Dive & Monthly Context:

For a comprehensive analysis, be sure to check both this edition and the previous one, which includes monthly charts. Several securities analyzed here present potential reversal setups on the monthly timeframe. Always keep the monthly edition handy for a broader perspective.

SP500

Eleventh week overbought, something seen very few times and analyzed two weeks ago in a special edition (Named 7 Charts that provide tools to navigate this rally), the references presented are playing out well for 2024 considering: