News:
The markets continued their multi-day slide on Thursday.
Seasonal weakness, a hawkish Fed, China’s slowing economy, and rising interest rates gave buyers no reason to buy and sellers every reason to sell.
The indexes posted a third day of losses…
- Dow Jones -0.8%
- Nasdaq -1.2%
- S&P 500 -0.8%
- Russell 2000 -1.2%
Sector Round Up
Once again, 10 of the 11 sectors finished the day in the red.
The lone winner…
- Energy (XLE) +1.2%
At the bottom…
- Consumer Staples (XLP) -1.0%
- Communications (XLC) -1.2%
- Consumer Discretionary (XLY) -1.7%
Crypto Crashing
Not even Bitcoin^ can escape the seller’s wrath.
The price of Bitcoin fell 20% below July’s highs on Thursday.
While longer-term support is holding, skittish investors appear to be fleeing risky assets for now.
We maintain our bullish longer-term outlook on Bitcoin but caution one must not risk more than one can afford to lose.
Technicals:
Now that short-term support levels have begun to fail, we turn to longer-term levels for potential turning points.
The marked support level will likely spur some buying. Our indicators are beginning to unite in oversold/bullish conditions.
Your latest readout…
- The VIX is on the rise but still relatively low
- RSI levels are now mostly oversold
- The put-to-call ratio is also oversold
Timing:
It’s options expiration day.
The final hour of trading could provide a wild ride.
We are on the sidelines today. Trade with caution.
Watchlist:
*Low Float
^Open Position
*RETO support at $3.50, resistance at $5
*HKIT on watch
*GCT support at $11
*JUPW has support at $1, resistance at $1.20
*GAMB support at $13
*GROV support at $2.50
*ACIS (formerly UIHC) support at $7
GRPN support at $10, resistance at $12
EYPT support at $13
EZGO support at $2.25
TDS on watch