What could likely happen next? ✍️ $SPX is sitting at an event horizon level. Price either holds here, or the whole structure flips. Don't be fooled by the pop we saw yesterday. Heavy dumps and violent swings are a classic distribution. Smart money is unloading volatility while late buyers chase the noise. There's strong support at 6800. If it fails, expect to see continued sell-offs as algos, brokers, and market makers press the downside and feed on panic-driven liquidity. I believe the market topped in Q4 2025. The bounces in January look less like recovery and more like distribution. Institutions are rotating out while retail steps in. With many insiders across major companies selling their equity since Q4 confirms it. Macro risk is also rising fast. If the U.S. gets pulled into a prolonged conflict with Iran, markets will reprice everything across the board. Among all, the Tech takes the first big hit. AI has been pitched as the endgame for SaaS and big-tech growth. That premium valuation cracks if the narrative presents itself to be more true, as the bazooka of shorts coming from geopolitical risks is mentioned above. What does this mean for you? Protect your capital. Reduce long exposure. There will always be another opportunity later. Not financial advice.
