SPX certainly had some surprising price action to close out the week. Up until Wednesday, we spent the entire week making new all-time highs and grinding higher towards the upper end of the expected range. Today we gave all of that up and closed below the lower end of the range.

The expectation was that SPX had a pretty clear path to the upper end of the expected range, but clearly that expectation did not play out. We saw a pretty sharp reversal to close out the week, continuing the pattern of Friday selloffs we have seen for most of the last few Friday’s.

The daily chart looks quite bearish at this point, considering we gave up nearly 6 days of gains in just 1 day. However, that is usually the case with down moves. How the market reacts Monday will be critical and could set the tone for the next trend.

On the 15-minute chart, we can see a failed rally/recovery late Thursday as highlighted. We had a pretty sharp move down from the all-time highs, failed to recover and then spent all day today going lower and lower.

While the move looks obviously bearish, I think it is best to wait until Monday to see how the market reacts. Now obviously we broke 6100 on SPX and in fact made it all the way down to 6008. If we come into Monday and break down below 6000, then I think the flood gates are open, and we are heading towards the recent lows. But let’s wait to see Monday’s price action first. We have seen dips like this bought up and a V shaped recovery.

Do the bulls still have it in them to save the market once more?

Moving onto AAPL, we broke out of the bull flag that was mentioned in the last update and attempted to retest it at the close. AAPL was actually strong most of the day and was rallying until late afternoon where it ultimately closed just barely red.

AAPL has been doing the opposite of what the SPX and NDX are doing for the last couple of weeks. A couple weeks ago we saw both indexes rally while AAPL was struggling to find any sustained-up moves, and now while SPX and NDX are selling off, AAPL is finding strength.

NVDA has broken down from key levels but still remains in the grey box. However, the price action is pretty bearish considering we have broken below some critical trend lines and key levels.

NVDA has earnings coming up this week so expect big volatility and swings in NVDA. A break below 130 is very bearish and retaking 142 could swing the momentum towards new all-time highs. NVDA will be news driven this week so the technicals might have to take a back seat. However, those levels I mentioned are still important to watch for as it could set the sentiment.

Boring old GOOGL finally did something today, breaking down from the red line it has been hanging onto for a few weeks. The expectation was that we break down and I have mentioned multiple times that the price target on GOOGL is 175. We closed today at 179.

The price target remains 175 on GOOGL and I think we can make our way down there early next week.

TSLA continues to break down as expected. I would like to see TSLA break below 317 this week to keep the momentum going. 350-360 has proven to be some resistance for the time being.

I want to quickly mention NDX as it seems to be heading back down towards this long term trendline going back to last September.

The trend line currently sits around 21260 but is obviously ascending. Breaking below this trend line could be extremely bearish and the next swing low to watch for would be around 20500.

We will explore key levels to watch for in the SPX and more over the weekend.

Stay tuned!