Let me start by saying I’m usually a bull, but this dump is undeniable. Let me give you some reasons.
1) Election next week, even more people are going to get out of the market on top of the usual Friday sell off to hedge against weekend uncertainty
2) Big tech can beat earnings tonight and still flat line or drop. Look at all these companies this week that beat earnings and fell. There is bound to be big tech that does the same. For the unaware, big tech makes up top holdings in both the SPY and QQQ, so if big tech does bad, the market does bad.
3) Corona virus uncertainty. Lockdowns are happening around the world and cases keep spiking
4) Stimulus is officially dead. No more stimmy hype to keep the market alive. My guess is we’re moving into the vaccine hype phase.
Why are we up right now then?
Retail boomers have bought the dip because Cramer said to if youre long. Investors are optimistic that big tech will rally because of their ERs. The investors who do not want to hold during the election have not sold off yet.
TLDR: Election sell off, big tech tanking, corona uncertainty, and dead stimulus are all going to tank the market starting at 4:01 PM
Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence or consult your financial professional before making any investment decision.