'Investors Are Panicking' In Huge Sell-Off; What's Next For Stocks, Gold, Bitcoin? | Chris Vermeulen

Here is a chronological list of the distinct topics, claims, and statements from the transcript:

1. A bare market can result in 5 to 10 years or longer with no investment returns, representing a "tax" of time.
2. Investors are currently panicking and dumping shares, as indicated by a New York Stock Exchange indicator.
3. Some investors experienced "FOMO" (fear of missing out) and got back into gold, believing it would "go to the moon," but are now underwater.
4. On Tuesday, November 4th, the S&P was down 1%, NASDAQ down 1.6%, gold down 1%, Bitcoin down almost 6% intraday, and Treasury yields and oil were also down.
5. October job openings were very bad, hitting the lowest level in over 4.5 years, with the job postings index falling to 101.9, the lowest since February 2021.
6. Goldman Sachs and Morgan Stanley warned of a likely 10-20% drawdown in equity markets within the next 12-24 months, though this is considered a normal pullback, not a major financial calamity.
7. The current market selloff is a combination of negative job numbers and bearish analysis from major banks, but a 10% pullback over two years is not unusual, as 10% corrections happen annually.
8. The markets appear "frothy" with big pops and gaps up, particularly on the NASDAQ and the Magnificent 7; gaps in price charts tend to get filled, which the market is currently doing.
9. There is panic selling in the stock market today, as indicated by a specific tool, which typically suggests the market is nearing a low and poised for a rebound.
10. The panic selling indicator defines panic by analyzing the ratio of up volume to down volume on the New York Stock Exchange, reflecting mass psychology when the general public is rushing to sell.
11. Current market conditions, including the S&P 500 pulling back to its 20-day moving average, a three-wave correction, testing a breakout, a gap down, and panic selling, suggest a "buy the dip" opportunity for momentum traders.
12. The S&P 500's selloff is primarily a "big tech selloff," driven by companies like Palantir missing earnings, while other sectors like consumer defensives, healthcare, and financials are performing well.
13. Expectations for tech earnings have become excessively high, and the current selloff may indicate an inflection point where these expectations are no longer met, leading to disappointment and a market correction.
14. The broad market selloff, with most sectors down, signifies a "tipping point" where widespread liquidation by nervous investors often precedes a market turnaround.
15. The stock market is anticipated to have a rough ride, while gold and silver are expected to benefit over the next one to two months, aligning with seasonal trends of stock market struggles and precious metals pressure in early to mid-November.
16. Previous viewer comments from an October 21st interview misinterpreted tax implications, believing tax is paid on every single gain rather than on net profit at year-end.
17. Beyond direct taxation, "time" (lost potential returns in a bare market) and significant "capital loss" (30-50% account drops) are significant hidden taxes investors often overlook.
18. The speaker's consistently bearish stance stems from a risk-focused approach and past financial losses, emphasizing the importance of protecting capital and having exit strategies.
19. The investing strategy involves waiting for clear market trends ("waves") rather than attempting to pick bottoms after sell-offs, to avoid getting "slaughtered" if the market continues to fall.
20. A comparison to the 2007 market top shows similarities in price action, with the stock market struggling, gold pushing to highs then pulling back, and money flowing into gold, silver, platinum, palladium, and gold miners.
21. Following this pattern, gold is projected to dramatically shoot higher, potentially reaching $5100-$5200, with silver also rising, as money shifts out of struggling stocks into precious metals.
22. Gold miners, being less liquid and connected to the stock market, tend to drop quickly during broad selloffs, reflecting emotional money moving out.
23. Gold is considered to be in a "super bull market" and is likely finding a bottom now; the current pullback to a key moving average, combined with negative sentiment, presents a "buy the dip" opportunity for an active trade aiming for $5100.
24. Silver is also consolidating and attempting to form a bottom, holding up better than the stock market because it is a commodity and not directly connected to the stock market's "falling tide."
25. Bitcoin is down significantly, indicating it has been "sucked into the financial markets" and now moves in sync with stock market flows, particularly the NASDAQ.
26. Bitcoin's daily chart shows an "ugly" megaphone or broadening formation, indicating increased volatility and unpredictability, making it a high-risk asset to trade due to potential for both large rallies and significant drops.
27. Bitcoin has underperformed the NASDAQ year-to-date, suggesting it has lost its appeal as investors shift focus from crypto to AI stocks and precious metals.
28. When the panic selling indicator (green) spikes, a buy opportunity usually presents itself that day or the next, leading to a 1-3 day bounce; an extreme panic level (7 or higher) typically marks a "standout low" and a major buying opportunity a couple of days later.
29. The firm is currently "long equities," having entered the market on a broad breakout and hit an initial target, now expecting a further 6% rally for the QQQ despite the recent shakeout.
30. The "asset revesting" strategy involves identifying bull or bear markets (ocean tides) and then riding strong market trends (surfer waves), making 5-12 ETF trades annually, often holding cash to earn interest while waiting for new opportunities.