 What is going on everybody, Astos here. Welcome back to another video. So in this video we're going to be talking about my opinions on whether or not the stock market is in a bull trap. We're also going to be going over the futures right now. What are stocks looking to do today based on my technical analysis in terms of the futures and kind of my opinion on everything going on right now in the market as well as some stocks and ETFs that I'm personally keeping an eye on. So if you guys enjoy this video, all I ask from you is to go down below and hit that like button. And if you enjoy the content in a couple of minutes and you haven't yet subscribed, feel free to consider subscribing and hit that notification bell so you're notified every single time that I do make a video. I upload videos every single day onto this channel regarding the stock market, personal finance, investing, trading, stuff like that. So just a quick little rundown on what's been going on over these past couple of days. We noticed how the stock market, based on the NQ here, the NASDAQ, it's been rallying, right? Noticing on the ES here, the S&P 500, we noticed that's been rallying as well. And the Dow Jones, the slash YM here, this is the Dow Jones future over the past couple of days, it's been rallying as well. And for all you that have been paying attention to the stock market, to some news that affects the stock market, you saw that Jerome Powell, the Federal Reserve Chairman, he said that if trade war tensions with China between China and the US continue to worsen, he's open to potentially cutting the interest rate. And this pumped a lot of optimism into the stock market, hence why we've seen this ridiculous rally over these past couple of days. And what this has caused, guys, is it's caused a lot of false hope in my personal opinion. And I talked about this deeper in yesterday's video, but it's pumped a lot of false optimism in my personal opinion into investors that have kind of clouded, that's kind of clouded their judgment regarding everything that's going on right now. Just because the Federal Reserve Chairman, Jerome Powell said he's potentially cutting rates, this doesn't really negate everything else, all this other craziness that's going on, right? We're still in a trade war with China, the tariffs are still being imposed, there's still a lot of drama going on between the two countries. I don't think they're coming to a trade deal anytime soon. We're seeing back and forth negotiations that are really leading to nowhere based over these past couple of months. We got recent news that Mexico is being slapped with tariffs and those negotiations are continuing today on the 6th of June. If they don't come to any agreement on the 10th of June, 5% tariffs are going to be slapped on Mexico that are then going to increase every single month up to 25% in the month of October, if I'm correct, if I'm not mistaken, in the year of 2019. Pretty much, guys, there's a lot of stuff going on right now regarding other nations in the global economy and I'm personally seeing these things worsen over time, at least in the short term here within three, five, six, seven months. The market, again, has rallied based off of this slim chance of a rate cut that we might not even get. Who knows if we even get this, guys? Definitely, if we do get this, I think it's going to be a positive catalyst for the markets. But again, you can't deny what is going on besides this slim, brief optimism that we got. There's still a lot of negative things that are going on in terms of the global economy that I think will have a negative impact on the stock market. So, is the stock market in a bull trap right now, right? Is the stock market in a bull trap where we are right now looking to potentially trap some longs that think the markets are miraculously going to recover now? And I personally think it is in a bull trap right now. And let's go over some technicals here that really could help us really understand where the markets could be going here over the next couple of days. Let's go to the S&P, actually, let's go to the ES right now, which is the E-mini S&P 500 index futures. This is open throughout the night so you guys can understand where the markets are potentially pushing, where they could potentially open on the next day. So, right now, again, I'm recording this video with about 30 minutes left to the market open. We notice how the ES right now is kind of flat. It's up $1.75, up .06%. We're noticing the break above this 180 S&P here on the 20-day or rather the 90-day 2-hour chart. But if we're going back to the 184-hour chart, we're still trending under the 180 Simple Moving Average resistance here and the RSI is very, very, very overbought here at the 70 threshold. And guys, this is kind of alarming to me, right? We've had the two, three straight days of really strong rallying here, bringing up that RSI. That's really putting us at a point that we've been rejected at over the past couple of weeks. Notice how we haven't broken out of the 180 S&P since when was this? The beginning, we really haven't been above it since the beginning of May in 2019. I can really notify a couple different rejection spots here, 1, 2, 3, 4, 5. This could be the sixth point of rejection right here under the 180 S&A, which is what I'm waiting for. And looking to see, are we going to get signs of this today? If we slowly start to trend down into the 2810 level, 2805, that in my opinion is going to be a pretty confirming factor of the ES, the S&P getting rejected there. The NASDAQ right now is currently down $2, down about .03%. And we're fiddling with this 50 S&A right now. We notice how we broke above it. Now we're looking to consolidate above it. We broke out of it as a resistance, looking to hold it as a support now. We're also holding the 7,220, 7,230 level of support as well. I would say if we do end up breaking down like this, maybe breaking back down to the 7,100 level, breaking that 50 S&A level of support, I would say this is a pretty big downwards move on the NASDAQ. That would be, in my opinion, the continuation of this downtrend here. And you guys kind of understand, based off these technicals here, that we are still overall downtrending right now. So this really could be a trap that a lot of people are falling for, right? You may be buying up some of these stocks that have been falling down to the overall market falling down. And if the market continues to sell off, you can be trapped in those stocks. And you may have to bag hold them. You may have to take a loss. And obviously, I don't advise bag holding whatsoever. I really advise taking a loss of about 1%, 2%. But let's say you're underwater 5%, 6%, 7%, and you want to wait it out. This can lead into some really negative trading habits that you might start to open up and start to implement, which is really not good, because bag holding can really kill your account. And let's say you get trapped at the top here and we start to sell off, you can very well be inclined to bag hold, which again, will lead you to losing money, having that money tied up, which you won't be able to take advantage of other opportunities with that money if it's tied up in a bag holding, you know, trade investment, which is again, it's just not a good thing, right? So be careful at these levels. I personally think this is most likely a bull trap. I'm not going to 100% definitively say that because no one can say anything with certainty. But my gut feeling is telling me this is a bull trap as of right now when I'm recording this video. So let's go over to let's say some other time frames very quickly. We notice how on the 20 day chart, we're actually above the 180 SMA. So I would say for a sell off here, we need to see a break down below this 180 SMA support. And again, back into the 7100 level for the NASDAQ going over here to the slash YM, the Dow Jones futures. You can't deny the fact that they are looking pretty bullish here on the short term basis. We're seeing a bullish cross of the 50 SMA crossing above the 180 SMA. But overall guys, you know, judging on this line right here, we are still down trending and we would really need to see a break into the higher, not really higher, but into the 26,000 level for the Dow Jones to be fully recovering to the upside in my personal opinion. You know, let's say we slowly get rejected here. We slowly start to break below that 50 SMA on the 21 hour chart. That's going to be really a continuation here of the downtrend. Just keep an eye on that guys. You know, if we do get pushed, that's a continuation in my opinion. Going over here to the 184 hour, we can see, you know, overall the Dow Jones is still in a descending pattern with the resistance being right at that trend line that I just drew out for you all and also under that 180 simple moving average resistance. So keep an eye on those levels guys. Very, very, very strong levels of resistance right now. We're up about $8 up .03%. So what the pre-market futures are telling you right now, especially since they aren't up a ton right now, you know, they're kind of hovering where they closed yesterday right around, you know, break even. What that's telling me is that we are seeing some resistance at these levels we could potentially be getting rejected at. So if the futures were up like 1% right now, let's say we were up here, you know, that would lead me to a different conclusion. But the fact that we are kind of struggling, I guess you can say, to push up here green pre-market, again, that's telling me we may be getting rejected here slowly, but surely. So those are, that's kind of my kind of take on the market right now. I'm being very, very cautious right now. The market's been obviously very choppy with all this news that's been going on, you know, the volatility has been there, which makes it a nice day trading market. But it's kind of hard sometimes during markets like this to predict longer term trends. But I am doing the best that I can here and I know a lot of you guys out there are doing the best that you can as well with what the market is currently giving us. So today, like I said in yesterday's video, I'm mostly going to be focusing on some of these short ETFs that have a lot of margin of profit due to the big market rally that we've been seeing here. So one of them is SQQQ. This one goes up whenever the NASDAQ is selling off. This one moves three times the direction of the NASDAQ. So let's say the NASDAQ sells up 2% today, this is going to be up 6%. That's kind of how it moves, right? It goes up when the NASDAQ is selling off and we can see the very big dip buy that we're currently seeing right now of about 10% on SQQQ. Another one that I'm watching is what is it guys, SPXS. And this is the same thing as SQQQ. It goes up when the markets are selling off. But this one trades in specific on the S&P 500, the SPX, hence why SPXS is in the ticker symbol, right? Notice how, you know, we saw the big sell off from the peak at about $23 down to where we are right now at about $20.71. That's about a 10% margin that was opened on this big pullback. So if my theory plays out, right, if my analysis here plays out that the markets do continue this sell off, these are going to offer a crap ton of money potential, especially for day trading, right? This can run 5%, 6%, 7% in a day if we do see a market dump. That can really help out a lot of people in terms of grabbing that margin of profit for their trading day. And that's what I'm personally planning on doing, right? Some other stocks that I'm watching, not necessarily ETFs, although a lot of these market ETFs, most of them I am looking to track and follow every single day, you know, like TVIX, UVXY, the volatility ETFs here, you know, TQQQ, that's a bull ETF, UVXY, we just said that one, and QQQ, that's another bull ETF. You know, other than this, I'm keeping my eyes closely on J&J. I've been talking about this one where at a critical spot under that 50 SMA, if we break here, that could be a very good play. I'm looking at Coca-Cola for a potential pullback to $50. I don't know if we'll get it, especially since we're consolidating here pre-market. Either two things can happen here, right? If we consolidate and then pop pre-market, we may be headed to $52 a share. We may be just continuing to push up here, which, you know, that could be a nice breakout trade. But if we end up pulling back here, which is what I personally rather see, you know, and we look to retest the 50 level old resistance as a new support, and we slowly start to see consolidation and a reversal there, that can open up a very nice dip buy opportunity for Coca-Cola, which has been doing very well throughout this market pressure that we've been seeing to the downside over the past couple of weeks. So Coca-Cola, not McDonald's, J&J, those are two, I guess you can say, value plays that I'm looking to potentially trade over these next couple of days. Of course, the inverse ETFs, those are always on my watch list, guys. Watch for crude oil. You know, are we going to continue this downtrend on crude oil here? Are we going to rebound DWT, UWT? Those are going to be two inverse ETFs that are going to be very, very volatile, especially as crude oil continues to get clobbered here. So Tesla is another one that I'm watching. You know, we can see Tesla's finally showing a little bit of a sign of a breakout here, right? We noticed we're back into the $200 level today. We're back up to $205. So, you know, Tesla, pretty interesting right now on a technical basis on multiple different timeframes here. We're noticing on the $180 for our chart, we're breaking the $50 SMA resistance here. So now we'll pull back a retest on the $50 and maybe a run up to the $180 SMA. That could be a nice little gap filled trade on Tesla. On the 90 day, we're noticing we're right under the $180 SMA. If we break that, that could be a pretty big breakout. So Tesla right now, in my opinion, and kind of what my gut feeling and my intuition is telling me right now, there might be a huge short squeeze on Tesla here. For those of you guys that don't know, when shorts, they start to cover their position, that ends up pushing up the stock very high, right? Very, very high because if they're buying back the stock, they're covering their position, that's going to just squeeze the stock and then continue to push it up. And that's why potentially we might see a huge price increase on Tesla here over the next couple of weeks. I've been seeing a lot of people saying short squeeze on Tesla is coming and I'm personally watching for it and I would love to know what you guys would potentially think about that down below in the comment section. So I'm going to end off the video here, guys. I'm getting really excited for the trading day markets looking for a potential sell off today. Let's see if we do get it. If not, we'll readjust. I'll readjust my plan and I'll talk about it in the later video today. So I hope you all enjoyed this video. If you did, feel free to hit that like button, drop a comment down below, leave a comment rather and subscribe to the channel. If you are new, I'll catch you all in the next video. I hope you all do great today. Peace out.