On January 2nd, Apple warned a slowdown in iPhone sales forecast and as a result the stock was down almost 10%. Apple’s weakness has affected all major US markets. All the major US markets are now below their key support area. Below we will look at all the major index charts and their key support levels.
Dow Jones Index ETF (DIA)
S&P 500 Index ETF (SPY)
Nasdaq 100 ETF (QQQ)
Russell 2000 ETF (IWM)
US Markets are losing major support areas. Apple’s revenue warning can be a canary in the coalmine that’s probably pointing to more pain ahead. In the last few days, bonds, gold and safe currencies have rallied and we are seeing a broad based sell-off in the US markets. The biggest surprise it the VIX. VIX is at 25 handle. Are puts cheap given all the weakness in the market and only a 25 handle. We will find out.