US Stock markets going south ?

 US stock market is in very precarious technical formation.

Most Index / Indices are on the verge of collapsing below key technical levels.

Nasdaq below 50 DMA

SOX below 50 DMA

IWM below 50 DMA

XLE below 50 & 200 DMA

We are precariously hanging just above 50 DMA in the following Index / sector

S&P 500 hanging near 50 DMA

DOW hanging near 50 DMA 

TAN getting near 50 DMA

Above is NOT a picture of a healthy market.....

Be ready for a sharp collapse below 50 DMA and towards 200 DMA

@ least that is the logical conclusion.....

Unless Politicians get their act together

No forced approval of any half baked vaccine for COVID-19

Market can handle due diligence in medical research, mid 2021 is OK with Wall Street

Now the real question is what to do now......

Market will do what it needs to do...

US election is a huge distraction for few weeks

All in all make sure you are positioned to deal with volatility on a daily basis....comfort level needs to be very high going forward.

Good luck with your own strategy!

BLOG does NOT give buy or sell.

Saleem

Posted in: Mixed