Weakness in the SPX, SPCX is Following the Script

SmartReversals
06-23 07:26

The market continues showing weakness, with the $S&P 500(.SPX)$ declining while the volatility index jumped 3%. The Magnificent Seven remain under pressure. $Microsoft(MSFT)$ , one of the high-probability setups posted in the latest Weekly Compass, reached its bearish target in a clean move since the stock revisited Friday’s closing price at the open before initiating a -3% selloff to 367.9, our bearish target 🎯; the stock stayed below the invalidation level for the bearish setup studied.

$Apple(AAPL)$ $NVIDIA(NVDA)$ $Meta Platforms, Inc.(META)$ $Alphabet(GOOG)$ $Amazon.com(AMZN)$ were all under pressure. Only $Tesla Motors(TSLA)$ managed to close in the green; however, it continues to respect the broader bearish trend (chart below).

On $SpaceX(SPCX)$ : the stock is following the script of previous IPOs covered in the special edition published before the listing. It rallied more than 50% from $150 to $225, a level posted here ahead of time with the warning of a gap fill, the recent selloff is consistent with stocks that have seen similar or even smaller post-IPO surges.

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