PRUDENT INVESTORS PAY ATTENTION TO CANARY IN COAL MINE – OBLIVIOUS MOMO CROWD SUPPORTING THE MARKET
By Nigam Arora & Dr. Natasha Arora
To gain an edge, this is what you need to know today.
Canary In The Coal Mine
Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX).
Note the following:
- The chart shows that the stock market continues to move higher.
- On SPY, $550 is the magnet for short term traders.
- The chart shows that the market is now significantly above the support zone. This illustrates that in the middle of the AI buying frenzy, if the momentum turns down, the momo crowd that is buying aggressively now can quickly incur substantial losses.
June 18, 2024