Tomorrow Will Be Explosive

Investors are scared right now. AI is disrupting the stock market. Trump argued that the Supreme Court ruling against him now gives him more power, and now the EU, UK, Australia, and India are putting their trade deals on hold. Trump said if they want to play games, then the tariff war will be escalated even further. Today we cover why the market's falling, what to know, and where the action is at right now. Once you hear everything going on, you're going to realize that tomorrow will be even crazier. IBM stock fell over 13 percent after Anthropic announced that its AI can streamline COBOL code. COBOL systems are mainly run on IBM computers and power 95 percent of U.S. ATM transactions and trillions in finance. This is the exact same pattern happening again, and it's directly tied to Anthropic. On Friday, Anthropic announced claw-to-code security, which scans code bases for vulnerabilities and suggests targeted software patches. This killed software stocks like CrowdStrike, which are still falling today, dragging the market lower with it. CrowdStrike was actually down over 10 percent. But going into the tariffs here, AI is not the only thing moving the markets. Trump is showing no signs of backing down after raising global tariffs to 15 percent after the Supreme Court ruled against his previous use of tariffs. Wall Street in the world wants answers. Details of Trump's new tariffs are far and few between, and his backup plan only allows the tariffs for 150 days without Congress, and the globe is responding. Yes, it is. The EU froze the ratification of its trade deal with the U.S. The U.K. and Australia said they were weighing their options, and India postponed a trip to finalize its agreement with the White House. Trump had a message for those countries and the rest of the world, writing on Truth Social that any country that wants to play games will face higher tariffs and worse. And as of now, the Financial Times ranks Brazil and China as the top winners of these new tariffs. Keep a close eye on ticker symbol EWZ, which follows Brazil, and then ticker symbol MCHI, which follows China. Yeah, these two tickers can move in some pretty crazy ways if we do see them start to trend. EWZ has been trending a lot in the short term, and it'll be interesting to see if they can keep trending higher. But guess what's tomorrow, Mike? Trump's State of the Union address. It seems like the news is never ending with Trump in the short term, but he has an interesting setup right now as he could address the economy, tariffs, Iran, Bitcoin, and even a lot more. Talks between the U.S. and Iran are set to resume Thursday, but the U.S. force buildup in the Middle East is showing no signs of slowing down. U.S. tankers appeared in Israel alongside U.S. cargo planes in an area normally reserved for commercial activity. At the same time, Trade Envoy Steve Whitkoff said Iran is about a week away from making industrial-grade bombs. It's clear that the line between diplomacy and military action remains thin. And all of these events are causing a lot of selling pressure in a lot of different ways. $200 million in crypto longs were liquidated in under an hour, pushing it below $64,000. Prediction markets are now expecting it to reach a low of $45,000 per coin this year, and today's Bitcoin selloff was blamed mainly on this tariff situation, but people aren't buying the dip like they used to, leading many to worry that Bitcoin is having an identity crisis. Bitcoin lacks fundamentals, so its value mostly rests on belief. It's lost about 40% from its all-time high on October 6, so this is insane. While we're seeing the world worry about the Middle East, about the U.S. economy, and about overvalued tech stocks, we're seeing the market still push metals higher here, so I'm really happy with the way gold and silver is moving here, Mike. It's great to see these supports holding. a little bit over 1% today, and now it's 2.28% away from all-time highs. Tom, when we look at the charts, what are you seeing, and what should we look out for tomorrow? Ever since Thursday, February 12, where SPY started to really fall back down, it's never really made a clear push back towards the all-time high again. And right now, we're sitting at a point where SPY just fell right back into the middle of a major zone that we've been talking about the past couple weeks. You guys are probably tired of hearing about this zone at this point, but support is coming into play at $6.76 again, while at the same time, we have major resistance up around $6.88 and even $6.90. This morning, SPY touched $6.90, rejected right off, and is now right at the double bottom from the end of last week, right around $6.8150 at close today. So I'm watching all of these levels into tomorrow, but especially that recent low around $6.76. Everybody's really worried about what's going to happen with the SPY. If we start to see the SPY break under $6.76 and solidify a downwards move out of the chop zone, that'll be an extremely bearish sign. At the same time, though, SPY could easily reverse on some good news and immediately rip back up. There's going to be a lot going on over the next couple trading days that could definitely affect this. Yeah, like that bottom of the range right around $6.76, in my opinion, is the most important level for SPY. If that breaks or even gets tested again, that's going to be a rough sign. And there's a lot going on in the world right now that can really fuel more profit taking. But either way, we will see. And we do have a lot scheduled for this week as well. Don't forget that Wednesday, NVIDIA will report earnings after close. This is the biggest company in the world, and they have the heaviest weighting in the S&P 500. How this stock moves has a massive direct influence in how the market moves, and it has arguably an even bigger influence in terms of sentiment and how investors, I guess you could just say, trade in the market. Like, for example, if NVIDIA posts bad guidance and the stock starts to sell off, that's going to make investors a lot more risk averse as opposed to if NVIDIA posts great earnings and, you know, rips closer to new highs. Yeah, we do. Tomorrow, there's actually quite a bit of Fed speakers. So watch out for headlines regarding maybe some news on inflation, maybe even rate cuts in the future, or maybe even pausing rates. I'm sure there'll be a lot of rhetoric surrounding the Federal Reserve's future decisions coming out over the next few days. And then even Friday, there's going to be PPI data releasing as well, one hour before open. So be ready for that. And Mike, with all these big events happening, hedge funds sold stocks at the fastest pace since the Liberation Day crash. Net selling through February 19th was 1.4 standard deviations below normal, and financial stocks were hit the hardest from this. Very interesting. And guess what the Omaha is doing, Tom? Warren Buffett is stacking cash in quite a bit of it. As of September of 2025, Berkshire had $382 billion in cash. Cash equivalents and short-term treasury bills. This is up sharply from the past few years. And it signals that some of the smartest investors out there are getting cautious, especially with valuations at the levels that they're at right now. And Berkshire also made cuts to Apple, Amazon, and Bank of America in their recent 13F filing. Yeah, it says a lot whenever the Oracle of Omaha, somebody with the prestigious career and just the big name. And I would say respect that somebody like Warren Buffett has whenever he's holding cash, it definitely says a lot. And right now, a lot of people think tech stocks are overvalued anyways. But thinking about stocks that are a bit overvalued and that are falling down maybe a bit in the short term, it's time for some plays and predictions for tomorrow, Mike. And with my first setup, I'm looking at strategy, ticker symbol MSTR. Looking at MSTR in the short term, there is a major support coming up. And what I'm really watching is the overall pullback with Bitcoin. So Bitcoin's been falling down a lot today. It fell under 65,000. If it holds under here and starts to solidify a larger pullback, I think that stocks like MSTR and Coinbase could continue their downside runs. If we go to like a daily chart, we can tell that micro or sorry, strategy has been down a lot here this year and even in 2025. So I'm really watching this one for a continuation. If the Bitcoin selloff continues, watch for support to possibly give out and there could be great scalping opportunities. Sounds good. Another stock that's close on the radar is ITB. This is actually a recent big money trade from Friday where the trader bought the 107 strike put options that expire pretty soon on March 20th of 2026. ITB is an ETF that follows U.S. home construction companies. And today we had some interesting data where basically pending home sales fell to the lowest level ever recorded. Basically Redfin also found that sellers outnumbered buyers with 1.96 million sellers versus only 1.36 million buyers, which is also the lowest buyer count on record. Mortgage rates are falling, which can help a little bit, but we're definitely seeing a slowdown in this sense. And U.S. home construction companies do have some risk in this sense. I like how the price action is weakening. I like the recent big money trade. And ITB is on my bearish radar in a short to medium term sense. ITB is no stranger to this overhead resistance here. This resistance zone is major. And the last time ITB hit this zone from the peak, it pulled back around 21%. So yeah, this is a pretty big zone for ITB. I'll keep it on the radar. With my next play, I'm looking at BTG or B2 Gold Corp. BTG is approaching a major resistance on the daily chart. And it's recovering back up as none other than gold is moving. So whenever we just start to see gold moving, gold mining stocks and just stocks associated to gold like BTG start to move up in some crazy ways. BTG was up over 6% today on that gold move. It's a pretty volatile stock as we can tell here. So there is some risk. But if we do see it start to push and break through the all-time high, I would not be surprised if it continued up in a pretty nice fashion. Sounds good. Another stock that's close on the radar is UVXY. And it's to the upside. This has the ability to do pretty well when the market's kind of freaking out. We can see it had a pretty good day today. And it has been uptrending over the past couple of weeks as well. If the market continues to sell off, this can do pretty well. Like we said, it's not something you want to hold in the long term sense, though. But especially if we do see it pressure that recent area of resistance right around 41.50, it can make for a pretty good short-term trade. Either way, it's close on the radar. Yeah, it was explosive today. 6.25%. And I love that move intraday. Like as the SPY dropped down, this stock ended up exploding in a pretty great fashion. So I'll definitely keep it on the radar as well, Mike. It's never bad to look at volatility sometimes, especially with all the crazy events that we have going on. All right, well, let's jump right into today's momentum plays then. With the first one, we have Eli Lilly, ticker symbol LLY, to the upside. If Eli Lilly can break out above 10.65, then watch it to the upside. With the next one, we have Navitas Semiconductor, ticker symbol NVTS, also to the upside. This stock can get pretty volatile. If it breaks above $8.25 at the high of day, then watch it up as well. And then with the last one, we have CrowdStrike, ticker symbol CRWD, to the downside. After the way this one moved the past couple days, it's hard not to watch this. If CrowdStrike falls under $3.4280, then watch for a downside continuation plan. All right, so we have these three stocks on the radar for potential continuations tomorrow, if and only if they break through the levels listed. These stocks are volatile. You need to protect yourself. Whether you trade one of these three stocks or anything else, always have stop losses and only ever risk an amount of money that you're comfortable losing. If you need help making smart, disciplined trading decisions, check out the KeyLessons channel and the StockDop Discord. It's completely free. And besides that, let's jump right into today's $725,000 big money trade. And today we're looking at ticker symbol TFC. The trader here bought the 45 strike put options that expire on May 15th of 2026. TFC is Truist Financial. It's an American bank holding company. This stock sold off very hard today alongside many other financial stocks and just other stocks in general. These put options are 10% out of the money, which is pretty far. And this naturally makes this a lower probability, but pretty high risk, pretty high reward trade. If TFC continues to fall, these put options can do very well, but they are out of the money. So in order for them to make a big move higher, this stock needs to fall a lot. Yeah, definitely. You know, TFC right now is sitting around $50 per share. This is actually a pretty big support zone that TFC is getting close to as well. But if we zoom out on TFC, there are some points where TFC will have insane pullbacks. And, you know, there can be a lot of news that ends up affecting bank stocks, of course, especially stocks like TFC that have been affected in major ways in the past. So this is an interesting one here, Mike. You know, we are starting to see financial stocks pull over in the short term as well. I know that there's been a lot of negative rhetoric around financial stocks, especially financial stocks related to credit cards this year, Visa, MasterCard, and others even sold off today with a lot of the banks. So I find this play very interesting. I'll be watching it like a hawk. Sounds good. Let's keep this close on the radar. But if you are new to the channel, welcome and consider obliterating that subscribe button. For every single trading day, we post brand new videos just like this one, showcasing big money trades, SPY levels and analysis, stocks to keep on your radar, upcoming events, earnings, historical stats, news, and so much more. If you subscribe, you'll get our videos recommended to you more often. So definitely consider doing that. Give a giant shout out to today's member of the day, Mr. Barkley. He had a little bit over $1,700 in profits today and $3,600 in profits from the 19th until today. So huge shout out to you. Keep up the great work going forward. If you guys are into short term trading, definitely check out that first link in the description in the comments down below to get in on the action. In the Stockdub trading floor, you get full access to our army of custom trading bots. You can chat with Tom and myself all day long, join our weekly live events, access all of our other software resources and information, plus all the new things we're adding as well. Definitely check it out and use code BIGMONEY to save $100 off the yearly plan. But besides that, thank you guys so much for watching and let's crush it in the market tomorrow.