📈 Market Cracking?
Here are the levels you need to watch.
Market Breaking Down
We saw significant selling today in equities as a result of the battle between retirement funds purchasing equities and investors selling to lock in capital gains in 2025.
The sellers won after we got negative news on Apple iPhone sales in China, Tesla missing delivery numbers, and China strengthening sanctions on American companies.
Index Levels
When we see selling in the markets, the most important thing you can do is know your levels.
Remember, it can always get worse than you think.
If you have a game plan and an idea of where key levels are, you can benefit from the volatility.
This is the major trendline that the S&P 500 is following right now.
You can see we are currently breaking minor support and thus have a shot at heading back down to major support, which would put us around the ~$5700 level.
On the Nasdaq, I think it’s noteworthy to point out that closed out the month of December with a gravestone doji on the monthly chart and we have already taken out the low of that bar in January.
Sure, its only been one day of trading, but we have already made a lower low on the monthly chart regardless.
That doesn’t mean we can’t go up - just something to be aware of.
We haven’t taken out the low on the monthly chart on the S&P 500 yet, so that is a key level you should pay attention to.
I run through the indexes and what I’m seeing in the market right now in much more detail here: