Stock Market Bottom Line Red Arrow Sell Signals are all over TSLA, QQQ and now IWM, short and intermediate term. These don't always result in down drafts, but they do enough to keep us wary of longs and strategic in shorts. Only an intermediate Sell in SPY and DJI is left before the odds shift overwhelmingly to the downside. This is our head start in the Premium Service, with more to come: Premium Service: New Options TSLA: "Just Not Yet" Personal Note: I had to have air put in the tires of my Tesla Model Y this morning. This is the first routine maintenance in 20 months of ownership. It was a free service of Discount Tire, but I tipped the kid $1 per tire. That's $4 out-of-pocket, total maintenance to date. Blue Line Subscription prices will not be affected. We have been chronicling a post-earnings decline in TSLA in anticipation of a fresh buying opportunity on its next series of Buy Signals. The TSLA short-term model that we follow in the PRO Service triggered a short-term Sell on July 21st, while the TSLA Intermediate Term Model that we follow in the Premium Service triggered an Intermediate Term Sell on July 26th. Those signals, set out in the charts below, along with the anticipated "September Effect" low due in Sep-Oct, has put a temporary damper on our TSLA call strategies. Nonetheless, been there, done that, a major buying opportunity in TSLA shares and calls is ahead, just not yet, TSLA Intermediate Term Trading Model TSLA Short-Term Trading Model Expected Buy should be well in advance of Oct 18th Earnings Call. THE BIG PICTURE QQQ: Intermediate Term Sell Signal Confirmed QQQ triggered an Intermediate Term Sell Signal on Aug 10th. We own QQQ puts now in both services looking for much lower prices into Sep-Oct. This lines up nicely with our anticipated low in TSLA. IWM - Intermediate Term Sell Confirmed IWM joined QQQ in triggering an Intermediate Term Sell Signal on Friday. Only the DJI and SPX are holding out, but any weakness in those indices next week should be enough to make the Sells unanimous. Be aware of my support levels especially if they are broken to the downside as those breaks, along with the red arrow Sell Signals, are all the warning we get before the big one, . QUOTE OF THE WEEK "The most obvious risk from AI in financial markets is that AI-powered "black box" trading algorithms run amok, and all end up selling the same thing at the same time, causing a market crash." AI will be at the center of the next financial crisis, SEC chair warns
