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Stock futures did a moonshot after hours last night, off the better than expected profit news from Nvidia (NVDA).

Earlier in the day I cautioned on X that Nvidia's 'good news' was going to get seriously reconsidered after the announcement because of some accounting gimmicks.

I stepped in after the market close last night and shorted the Nvidia rocket hard across the board. Added more this morning and then took a nap. And here we are. 

Healthy markets do not move in bipolar swings like this. This is late stage bubble action. We are on the edge.

Stocks went out on lows into the close.

Silver gave up some ground in sympathy with stocks, and gold held steady.

VIX shot up higher.

The Dollar chopped around and closed exactly where it had been last night.

Bitcoin continues to get sold, and is on the kind of support I call the threshold of the House of Pain.

The cascade effect, whether it be margin calls or rules based selling, is the poisoned chalice of bubble tops.

Tomorrow's market action on the stock market option expiration is important.  And we need to see how the markets go into the weekend, and the character of their action on Monday. 

The classic sequence to watch for is Bad Friday, Blue Monday, and then a Black Tuesday. 

But all crashes are always long odds, and multi-week events. 

Greed kills, and FOMO kills absolutely. 

Have a pleasant evening. 
 

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