Get All Access for $5/mo

So Many Charts Are At Key Junctures That Patience Pays Interest rates are nearing new highs which has pushed stocks to new lows. Now oil is looking higher as well. Time to take a technical take on the markets.

By Tim Biggam

This story originally appeared on StockNews - StockNews

Interest rates are nearing new highs which has pushed stocks to new lows. Now oil is looking higher as well. Time to take a technical take on the markets.

So many markets are at critical areas on the charts. A quick walk through of each of these should help shed some insight into what price points to watch for bearish break-downs or bullish break-outs over the coming weeks. Interest rates will likely hold the key until after the next Fed meeting in early November.

The 10-year Treasury yield is fast approaching recent highs once again near the 4% level. An upside break-out would likely send stocks to new lows while a re-test of the 3.5% area would be bullish for equities.

The 2-year Treasury yield is at a similar inflection point, albeit with a higher yield. A move past 4.5% would not be a welcome sight for stock traders. Note that the 2-10 is still deeply inverted, which is normally a recessionary sign.

The NASDAQ 100 (QQQ) is hovering right at major support near $270. Not yet oversold yet but definitely getting closer.

S&P 500 and Russell 2000 displaying identical patterns. Whether stocks hang on and bounce or breakdown and fall further remains to be seen.

Gold and oil are also at major inflection points on the charts, although oil getting a little overbought short-term.

Implied volatility in stocks (VXN and VIX) is nearing the recent highs once again, although not quite there yet. Nervousness abounds as stocks fall towards recent lows.

How this ultimately plays out is anyone's guess. I prefer to stay hedged and nimble, which is the approach that has been working well recently in the POWR Options portfolio. The recent semiconductor pairs trade -bearish lower rated WOLF and bullish higher rated AVGO- was closed in one day for a 19% profit.

POWR Options

What To Do Next?

If you're looking for the best options trades for today's market, you should check out our latest presentation How to Trade Options with the POWR Ratings. Here we show you how to consistently find the top options trades, while minimizing risk.

If that appeals to you, and you want to learn more about this powerful new options strategy, then click below to get access to this timely investment presentation now:

How to Trade Options with the POWR Ratings

All the Best!

Tim Biggam

Editor, POWR Options Newsletter

SPY shares closed at $362.79 on Friday, down $-10.41 (-2.79%). Year-to-date, SPY has declined -22.73%, versus a % rise in the benchmark S&P 500 index during the same period.

About the Author: Tim Biggam

Tim spent 13 years as Chief Options Strategist at Man Securities in Chicago, 4 years as Lead Options Strategist at ThinkorSwim and 3 years as a Market Maker for First Options in Chicago. He makes regular appearances on Bloomberg TV and is a weekly contributor to the TD Ameritrade Network "Morning Trade Live". His overriding passion is to make the complex world of options more understandable and therefore more useful to the everyday trader. Tim is the editor of the POWR Options newsletter. Learn more about Tim's background, along with links to his most recent articles.


The post So Many Charts Are At Key Junctures That Patience Pays appeared first on

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Business Solutions

Increase Productivity with This Microsoft 365 Subscription, Now $25 Off

It can make the entrepreneur life a lot easier.

Business News

Apple Pay Later Is Ending. Here's What's Taking Its Place.

The program was available for less than a year.


This Artist Answered a Businessman's 'Powerful' Question — Then His Work Became 'the Poster Child for Juneteenth': 'Your Network Really Becomes Your Net Worth'

Reginald Adams was the executive director of a Houston-based art museum for more than a decade before he decided to launch his own public art and design firm.


Harvard Business School Professor Says 65% of Startups Fail for One Reason. Here's How to Avoid It.

Team alignment isn't nice to have -- it's critical for running a successful business.

Business News

Here's What Companies Are Open and Closed on Juneteenth 2024

Since it became a holiday in 2021, Juneteenth has been recognized by some major corporations as a paid day off.

Growing a Business

I Hit $100 Million in Annual Revenue by Being More Transparent — Here Are the 3 Strategies That Helped Me Succeed

Three road-tested ways to be more transparent and build relationships that can transform your business — without leaving you feeling nightmarishly over-exposed.