Is An Over-Confident Wall Street At Risk Of Stocks Dropping Again?

By Adam Taggart of Thoughtful Money

President & Co-Founder at Peak Prosperity • Jun 24, 2025 at 6:25 PM EDT

Models show stocks losing momentum and concerning technical weakness. But Wall Street remains optimistic -- perhaps too much so.

Cutout paper illustration representing scheme and Stocks inscription

Image Source: Pexels

Over this past weekend, the United States conducted an airstrike that appears to have destroyed Iran's most important nuclear facilities.

The US had been supporting Israel with defensive measures in its military campaign with Iran. But this marks the first offensive role America has taken in the conflict.

What material impact will this have on the markets, if any?

To discuss, we're fortunate to welcome back to the program market technician and portfolio manager Katie Stockton, Founder and Managing Partner of Fairlead Strategies.

Katie's models show stocks losing momentum and concerning technical weakness. But Wall Street remains optimistic -- perhaps too much so.

In her mind, the likely movement is to the downside from here. Which is likely to catch many current longs by surprise.

Video Length: 01:11:00

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Disclosure:

Thoughtful Money LLC is in the application process to be a Registered Investment Advisor Solicitor. We produce educational content geared for the individual investor. It’s important to note that this content is NOT investment advice, individual or otherwise, nor should be construed as such. We recommend that most investors, especially if inexperienced, should consider benefiting from the direction and guidance of a qualified financial advisor in good standing with the Financial Industry Regulatory Authority (FINRA) who can develop & implement a personalized financial plan based on a customer’s unique goals, needs & risk tolerance. IMPORTANT NOTE: There are risks associated with investing in securities. Investing in stocks, bonds, exchange traded funds, mutual funds, and money market funds involve risk of loss. Loss of principal is possible. Some high risk investments may use leverage, which will accentuate gains & losses. Foreign investing involves special risks, including a greater volatility and political, economic and currency risks and differences in accounting methods. A security’s or a firm’s past investment performance is not a guarantee or predictor of future investment performance.

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