BY MARK SEBASTIAN
March 10, 2025
Hey Traders,
Friday was confusing.
We opened down big and fully recovered closing the day up 31 points.
The S&P 500 bounced off the 200 DMA for the second day in a row.
VIX came off – seems like a logical place to start to slow down the market’s speed.
But we shall see today … futures are down overnight.
VIX futures are still flashing a major warning though:
When we are in this formation … anything can happen.
Let’s Recap Friday’s Trade
The market looked like it was primed to take off.
Down 50 to unchanged on the day: that’s a recipe for a market to rip higher.
That didn’t happen … instead of sat and spun…
…Today’s Outlook
Overnight the market is down. Right now, about .7% – nothing big.
But this is make or break. If we don’t bounce over the 200 DMA early in the day, I think it’s going to be a long day for stock market bulls.
Levels I am watching: 5800 is big for the S&P 500 then the 150 at 5828.
On the downside, a clean break of 5700 would be problematic for the market.
Call Ted if you aren’t currently a member – 888 872 3301.
Your Only Option,
Mark Sebastian
Mark Sebastian
Founder & CEO, Option Pit
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