 What is going on everybody? It's Stas here. Welcome back to another video. So in this video, we're going to be talking about the craziness that is going on right now in the stock market with about 42 minutes left to market open on the 13th of May in 2019 we're going to be talking about some new news regarding the trade war that just came out from China's side and my Whole opinion my whole thought process and mindset going into this in terms of me trading stocks What stocks am I personally watching what stocks am I looking to trade? And we're also going to take a look very quickly at how the overall stock market in terms of individual stocks here is Reacting to this news that we got from China guys So let's just start off with the futures right now the SMP 500 future here is down about 55 points nearly down about 1.9 percent here in the pre market session the Nasdaq future It's down about 2.5 percent here down about a hundred and ninety five dollars and Dropping guys the Dow Jones if I pull it up on my phone very quickly and refresh It's down about 480 points right now down about 1.9 percent This is one of the ugliest pre markets that I've personally seen here over the past couple of weeks in the stock market Probably since that whole October to December sell-off that we experienced a couple months ago So what ended up happening to cause this big drop-off right? We all know last week Trump Raised tariffs on China from 10% to 25% right? That's kind of old news the market was Reacting very very strongly to that you know the VIX the volatility index was going crazy The markets were going up and down ended up selling off pretty decently last week and we were kind of waiting I personally was waiting for a retaliation From China or waiting to see if they were going to retaliate right because China pump pumped up these terror US pumped up these tariffs I wanted to see maybe China does something right and if China were to do something this can react or Effect the stock market in a very negative way as well And what do we know guys today literally after I was talking about it after the community was talking about it last Week today. We got news that China is Retaliating so let's go over here very quickly and this is a Twitter thread from Trump this morning trying to you know explain why The tariffs are actually good for the US yada yada yada You know you could read through this if you want but going over here This is the good stuff here China is raising tariffs on 60 billion of us goods starting on June 1st, so China will raise tariffs just like I said 60 billion dollars in Retaliation to the US to hike on Chinese goods, okay? Beijing will increase the tariffs to 25% from 10% so very similar fashion to what Trump did the Chinese Finance Ministry said on Monday It follows Donald Trump's decision to raise duties on 200 billion dollars in Chinese products from the same 10% to 25% The two world's largest economies continue to struggle to ink a trade deal guys, so this is absolutely Unbelievable here, so the gist of it is China retaliated with raising the tariffs of their own on US Really to affect the US goods, right? This is absolutely Unbelievable and going back over here to Donald Trump again. He was trying to kind of play down the situation saying You know if China retaliates is going to get worse, right? There will be nobody left in China to do business with very bad for China, right? If they don't get a deal, you know completely avoided if you buy from a non-tariff country or you buy the product inside the US Okay, okay, okay just read through this whole thread here This was sent literally my phone was blowing up this morning because again I have Trump on notifications don't want to read into that because that will take a couple minutes here on the video And I kind of want this to be a quicker to the point video So what we need to know is China raised tariffs. They retaliated the market is acting very very Negatively to this right take a look at all of these charts that we're looking at the end queue. It's looking terrible It's looking like a falling knife We've been breaking support after support down to the downside here the YM here the Dow Jones This is the future very similar pattern right falling knife lower lows lower highs down trending descending pattern the ES is Very much of the same right? We broke, you know supports after support after support lower lows lower highs You know we're about to get a bearish cross here the 50 SMA crossing below the 180 SMA So how is this going to affect stocks guys? Well, I personally think we're going to be in a similar situation to back during the October to December phase here where the trade war and the Negotiations were kind of escalating right and at this point with both countries jacking up tariffs This is really getting into a nitty-gritty ugly trade war right Trump is fighting You know president exceeds fighting This is not good guys and until my in my personal opinion until there is a trade deal done If there is a trade deal done who knows right there are rumors that you know China is waiting until the next election so Trump could potentially be out right so they can maybe You know deal with a new democratic person a new Republican person in terms of the office to make a deal with You know there's a lot of rumors out there, but until there is a deal I think you know there's going to be a bunch more volatility in the stock market, right? I think you know a bunch of these large caps They're going to be hit, especially if the market continues to go down and I'm just being very cautious, right? I'm on record saying last week that I'm literally all cash right now in my trading portfolio, right? I took a loss in Google last week took a loss in Facebook I took a mini little profit on Procter and Gamble and I'm literally just all cash right now because markets like this They're very difficult to swing trade right because the trend when the trends down like it is now It's not really in your favor to swing trade, which is why I'm mostly looking to day trade, you know TV I X volatility potentially some bull gold ETFs here because gold is Excuse me looking like it's breaking out here, right? Typically gold does good In our time periods like this we can see gold is looking to break out, right? So in terms of gold, this is the number one that I'm personally watching where I guess you can say number two that I am Watching here for a potential day trade Jnog is a bull ETF that goes up whenever gold is going up This could be a very good play here TV. I X as well is a Volatility ETF that I trade right ticker symbol TV. I X it does very well when the markets are Going down and going down quick, right? Which is why you can see it's at $28 per share right now We're at where it ended up closing at $23 per share this past week So I'm keeping an eye on these two and let's take a look very quickly at some large caps Especially the big large caps right that are being affected today. Let's see how badly they're being affected. So Apple stock, which Kind of had a pretty big comeback when the market sold off Came back rather aggressively this past week where you can see it here, right? They have ended up selling off Apple did came back aggressively as the markets were doing well But now we're seeing a sell-off deep into You know the high 180s we cracked 190 guys. That's how Apple's getting hit. They're getting hit pretty bad They're down about four or five percent right now if we're going over here to Facebook guys You know Facebook's down to 183 dollars per share right now, you know, Google's down to about 1140 So you guys can kind of see why I ended up just taking a mini loss on Facebook and Google because I was anticipating Something like this happening. It's all about mitigating your risk in understanding where the markets could potentially push based off of you know Current economic market situations when which in this case are the trade deal the trade war I thought okay the trade deal the trade war this can cause a lot of volatility in the markets Especially after we got that tweet from Trump last Sunday, so I figured okay Maybe taking a little loss on Google and Facebook would help me in preserving capital with the the downside risk That is in the market right now and that served me right guys because if I were to hold Facebook and Google at this point right Facebook. I was in at around 193 I'd be down literally ten dollars per share that would not be looking too hot, right? So Facebook's down pretty big, you know Amazon I can assume You know the same right we're down to 1830. Oh my goodness guys That's absolutely crazy down about a hundred and points from that 1963 peak um, let's take a look at some other big ones here Microsoft is down Probably 124 that's not actually as bad as some of the other ones That's only down about two three percent and if you want to see how some other companies are getting hit like some of The value plays out there. Let's say like Coca-Cola. These aren't getting hit as bad, right? Coca-Cola, you know, this is deemed as a safer quote-unquote investment right when markets are volatile a lot of times people Camp their money into you know stocks like this, right KO for example, right like J&J These are stocks that people camp and feel or camp their money and they feel safe when their money is in these So let's see some other ones, you know, maybe You know cat maybe not cats probably doing bad. Yeah, because industrials typically get hit especially during trade war stuff So be a Doing very bad as well. So that's just a couple of you know stocks and how they're performing and my personal outlook guys Just to wrap it up here. I think volatility will continue. I think um, you know, there isn't going to be a deal Right. I think there's going to be back and forth for a couple weeks months, whatever I think the market is going to be, you know at risk to further downside because of this those are just my personal opinions So what do you guys think about this, right? I would love to know what your opinions are on this drop a comment down below What are you looking to trade today? Are you just sitting in cash? Are you waiting for a reversal? Do you think the markets are going to push back up? Let me know So if you enjoy the video feel free to hit that like button It really supports me and supports the channel in general hit that subscribe button and hit that notification bell So you're notified every single time that I do make a video I'll catch you all in the video later today where we're going to be wrapping up and Talking about the mayhem at the close of the market that probably will continue to occur throughout the day today So I'll catch you all in that video. Good luck today. I'll chat with you in the group chat strive smart discord Strive smart Facebook link down below. I'll see you all peace out. Good luck today. Hope you guys kill it