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The bearish rumblings are getting loud again. Wall Street Chief Executives have just come out with their take on the market. What’s their opinion? We should all brace for a larger than 10% correction in the next twelve to twenty-four months. Earnings are strong but valuations are too high, they say. The market needs to cool off. What has that done to SPY? It’s stopped it in its tracks. Here’s the chart: After making new highs recently, the momentum has definitely stalled. And not surprisingly, sentiment is not looking great. The Fear & Greed Index is now down from 38 to 31. We’re in Fear territory and getting close to Extreme Fear: After a big runup, the stock has now gone sideways in a tight channel. Breakout traders love this because many times it means the stock is storing up energy for another big surge upward. We saw a similar pattern back in the summer of 2024, and what happened? BK exploded from $59 up to $80 with hardly a backstep. Could we see another move like this if the market once again regains its bullishness? A break above $110.87 could be the trigger. We’ll keep an eye on it. In the meantime, if the SPY does climb again to all time highs… Here’s the BEST way to trade it TODAY (with an 81.2% win rate)! |
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