Trying to learn from mistakes and was it wrong to be short SPY: 1) SPY hit 510 support on Friday, 2) QQQ was still at support/no man’s land, 3) other thoughts–?

Don’t use technical analysis on the VIX.

Yes. Pretty much the same story: Sector after sector continues to roll over with an ever-shrinking handful of stocks (the former Mag 7, 6, 5,… etc..) holding up the stock market due to their huge over-weighting in the big cap indices, especially the $NDX.

The financial sector (XLK) finally broke down the other day but the leader (JPM) really started to buckle today after earnings. Hence, the $SPX, where the financials are the 3rd largest of 11 sectors, has taken out that previous 4/4 reaction low whereas the $NDX has virtually no exposure to the financial sector, hasn’t & probably won’t until the remaining big tech stocks break those key supports I’ve been highlighting.

So the way that works is: Bull/dips buyer “bait” with odds favoring any breakout gets sold into means a hard pass reversing (covering shorts & going long) for me. However, should it play out for a rally up to any or all of those potential bounce targets, any or all would offer objective levels for those looking to add to short exposure for what could be an even bigger dump into the close today or a break & even potential gap down below QQQ 433 on Monday.

FKA Mag 7 stocks holding up relatively well, so far today. Really would help to see most or all take out today’s lows to open the door for another wave of selling today and/or next week.