6/16 Bearish. 200 Buying | 600 Selling.
% Stocks Over 50SMA is Bearish – Overbought. Primary Indicator is Bullish – Caution. 20% Weekly is Bullish – Caution.
Geopolitical tensions between Israel and Iran continue to weigh heavily on markets, driving notable sector weakness and elevated selling pressure.
Financials and technology sectors led losses amid concerns over stablecoin competition and profit-taking, while energy outperformed strongly on a sharp oil price surge. Volatility remains elevated, but VXX shows signs of easing from recent spikes.
Monday’s key economic data includes the Empire State Manufacturing survey, expected to remain weak, keeping traders cautious ahead of midweek Fed rate decision.
Key Takeaway:
Traders should remain cautious given the bearish volume skew and geopolitical risks. Focus on energy and defense sectors for relative strength while avoiding extended longs in financials and tech until clearer stability emerges. Use support levels for tactical entries and maintain tight stops against sudden volatility spikes.
Watchlist
Continuation: REGN (S1: 526, S2: 524, S3: 523, R1: 530, R2: 529, R3: 535)
Anticipation: CSCO (S1: 48, S2: 47.5, S3: 47, R1: 49, R2: 49.5, R3: 50)
