Is this a Turning Point in the Market Trend + Still Buying this Small CAP

Am I bullish on these markets right now? Some would argue that the 12% pull down or test of the market that we just went through on the QQQs was the best buying opportunity for going long. I am pointing to the fact that we have a diamond pattern that's confirmed bearish and one green candle does not turn the markets around. We've got to see some follow-through, especially through the end of this week. Now, I'm going to give you some critical levels on the cues to gauge its next move. I believe this is a clearly defined diamond pattern. We came 12% down from the top recently to the bottom of this wick. We're showing a very nice reversal. Now, this market does not get bullish until it closes this weekly candle above 686. To me, that's the test. You could see that we're close to it, but we haven't done it yet. Now, we go bearish again when we fall beneath 674. And if that happens, we'll definitely get another leg down. Now, the big problem that I've not lost focus on is the expected downturn that occurs in a midterm year, as well as the fact that we do have a serious problem with inflation and a Fed that people are fed up with. Let me read an important comment to you by Mark Oswald, ADM chief economist. He said, "We missed the hike boat yesterday and without a sharp and sustained downturn in oil, the Fed would need to hike rates in September, less than two months before the midterm election." So, I believe that all the problems that drive this macro have not been sorted out. Let me take you guys into the VIX real quick and remind you what we're watching there and what we need to see by the end of this week. Yesterday, when we were right below 21, I said if we got above it, Wall Street would be in full-blown panic. They didn't. They bought the dip and markets ripped and fear subsided. But, I'm just going to let you guys know this is going to remain on watch going into the end of the week. If we continue to creep higher, we are steadily moving towards fear. Have you lost money in the last 24 hours and you thought maybe I'm just not getting the game of Wall Street? It is the hardest way to make easy money and not everybody succeeds on it. And to that point, we've had a major hedge fund begin to unwind. This is one a success story that you've been hearing about for the last two years. It was the fastest growing hedge fund from 2025 to 2026, going from a couple million dollars all the way up to $45 billion. And a very young man sitting at the helm of it all. Ashen Brener from situational awareness liquidates stock holdings after facing margin calls. The situation that I'm aware of, which is very simple, is that this fundamental investor went from being a bull that was winning and succeeding and staying in his position too long, he turned into a hog and he's been put up on Wall Street's chopping block and is getting slaughtered. Let me read this to you. To raise cash quickly, Situational Awareness sold its public stock portfolio to Citadel while reportedly keeping private investments such as Anthropic. In simple terms, the fund borrowed heavily to bet on AI. The trade moved against it and it was forced to sell rather than to wait for recovery. Now, what is the number one thing that they did wrong? They've not read the charts. We did not start trending down yesterday. We've been trending down on a lot of big tech stocks since the beginning of this year. Micron, for example, is been clearly in a downtrend for a long time. And yet, nobody sounded the alarm. Now I teach very basic technicals here such as a hot trend is a stock that's respecting the 5 EMA. Now we invested in Micron in previous days when it pulled back to the five on the weekly. I told everybody this stock is healthy and it's going higher and one person made over $1 million following that technical advice. But and there's always a big butt in the room. Eventually, it cooled off and it began to pull back. And the final spot that the bulls control the advancing move is the 20 EMA and it no longer respected it. That was the spot to go risk off, but people could not get outside of that headsp space of a narrative that they had been pushing and driving and believing in. They weren't following the charts. Now, we had a huge day on Micron from yesterday to today. And we took risk on a chart when it was going down. and it was hard to do, but it made sense. I'm going to take you into that chart. I'm going to show you that particular trade and how it played out. And I'm going to let you know what I think is going to happen with Micron in the coming days. Let's go look at that. If situational awareness could have taken that $45 billion and simply hired a good technical analyst, I would have told them that this was a clear double top at 1250. And I did tell all of you and I took this thing short. Now it has been making lower lows and lower highs one after the other and what that does is it gives us a clearly defined trend. Okay, the trend is down even after this huge move higher today. The trend is clearly down. Now in the stocks with Josh Discord, I called out taking risk right down here at 742 and there were folks that got in. This thing dipped a little bit more. They panic sold. I told everybody to calm down, don't do anything. And tomorrow morning, we'd likely see green because this was an irrational $138 selloff and we were catching it in the last $38. And we saw a massive reversal and a move higher. Now, here's what I want you guys to watch for. We've had a nice move, but here's what MU needs to do. 861 has been operating as a critical level of support andor resistance. We are above it and we are trending higher. That's very, very good news. Now, the next level above that this could go to is 996. And if it did that, we would begin to be setting up for an inverse head and shoulders pattern. If we were to hit that 996 level, pull back to 861 again, and then move higher to 996, this would be setting up for a bullish play and a potential move all the way back to the top. If this were to confirm above the 996 level, we'd actually go a little bit higher than 1250. Now, I want everybody to pump their brakes. I am not predicting MU would go higher. The main thing I want you to be aware is that the risk on MU is super high. That's something that Ashen Breners from situational awareness just discovered. What we have is a dangerous trade going against the trend. We made a ton of money. We took risk when it made more sense, when it was absolutely down in the gutter, hitting up against critical support, and it was still hard to do that. Now, tomorrow, we're going to take a breakout on MU. If this continues to climb, we know where it's going. It's likely going to go to that 996. We are not in a bullish macro. We're in a bearish macro. Some big tech has been doing pretty good. It looks to me like Amazon has done really well today because I see those green candles stacking one on top of the other and Apple's getting punished and sold off. There's a little bit of rotation going on there. I won't predict what will happen with them tomorrow. Let's see how the week plays out. If they get sold off or bought back up, I'm not sure. Right now from a technical perspective, the trend is clearly down on a lot of stocks and the QQQs and the SPY are in trouble and key economists are warning about a problem coming at the end of August around September. The market's not going to like one green candle like I showed you on the QQQs. Do not make a bullish market and any risk that we take right now is going to be much higher. I would advise you guys to slow down a little bit. Be very selective. I really did well today with MU. Massive, massive win. I also bought SoFi. It went up nicely. I also had some Poet. It went up nicely today. I also had some USA. This is another winner. Now, I'm looking for plays that I think it can continue even if the overall macro goes down such as Microsoft did. US falls into that category. I mentioned yesterday that Donald Trump highlighted that magnets were going to do well and if you wanted to make money on Wall Street, he said, "Follow me." He said, "Get some magnets. Do yourself a favor and get some magnets." So, that's what I did. And US also went up about $1.50. Now, I wanted to highlight again today US because even though we might pull back a little bit, I still like this one. Let me take you into the chart and show you what it is I like. So, to be very clear, in yesterday's video, I highlighted US right around $13.30. And just like the other videos that I've made this week, the very next day it ripped. you could consider putting your stop loss in at 1450. I personally would like to see this pattern change up a little bit. You can see that clearly this is a series of of lower highs and lower lows. And what we don't have on USR right now is we don't have a bottoming pattern to go off of where we would begin to believe that we're going to rebuild and go higher. That's the only thing that I don't like about this chart. We've got a nice little pop and so we're in it, which is nice. I would say stop loss at 1450. If you go to a weekly chart, you see that it's actually got a little dogee here at 1450. We might make another dogee here on 1450 like we did back here. And this might be the reversal point. It's hard to find stocks under $15 that might potentially have a 100% move. I think USR is one of them. Now, the other thing I mentioned in yesterday's video is that we finally got oversold on the weekly time frame. And the last time we did that, it set up for one of us's biggest moves. The stock went from $6 all the way up to $44. So, I'm simply highlighting this same stock that I highlighted yesterday that I like. I'm in it. I haven't sold any. I'm going to be buying more. There's the potential as we go into a bearish macro that this could go as low as $11. The market can pull everything down, but I'm going to continue to accumulate this for a longer trade. So, I still like US. Let me know if you guys bought any in the comments section. I'm going to be accumulating. I don't think I'm going to let any of this go even if we pull back from here. If you need some help better understanding the charts to take risk on Wall Street, then come check out the Stocks with Josh community. I'm going to be live trading with the family tomorrow. Peace and blessings. Hit that like and subscribe. I'll see you then. Let me take you guys into the VIX real quick and remind you what we're watching there and what we need to see by the end of this week, which will tell us Everything.