\u201cThe Magnificent Seven have been dragging the stock market higher, but underneath the hood a lot of stocks are struggling,\u201d says Chris Vermeulen, founder and CIO of TheTechnicalTraders.com. \u201cThey\u2019re putting in major tops or hitting resistance levels. I do think we could see a huge collapse at any point. We just need some tipping point, some piece of data that could turn the tide.\u201d Looking at patterns from past years, Vermeulen warns: \u201cIf the market does roll over here, we can see a very simple repeat where the market drops back to the April lows. That\u2019s a good 20 plus percent haircut in price.\u201d Meanwhile, he sees a rare opportunity in gold: \u201cGold is screaming\u2014it\u2019s like something is about to break. Charts point to a 20-plus percent move.\u201d<\/p>\n
Is Wall Street\u2019s \u201cMagnificent Seven\u201d propping up a house of cards?<\/strong><\/p>\n Chris Vermeulen warns that beneath the flashy gains of Big Tech, the rest of the market is flashing red. If his analysis proves correct, investors could be staring down a 15\u201325% correction\u2014or worse, a financial reset<\/strong> reminiscent of 2008. With cracks spreading through the S&P, Russell 2000, and microcaps, the illusion of strength is fading fast.<\/p>\n This isn\u2019t fearmongering\u2014it\u2019s strategy. And if you\u2019re not preparing now, your wealth could be at risk in the next massive market crash<\/strong>.<\/p>\n The S&P 500 looks strong on the surface. But peel back the layers and you\u2019ll see:<\/p>\n RSP (Equal-Weighted S&P 500)<\/strong>: Stalling near resistance.<\/p>\n<\/li>\n Russell 2000 (IWM)<\/strong> and Microcaps (IWC)<\/strong>: Showing what could be a major double top<\/strong>.<\/p>\n<\/li>\n MAG7 Camouflage<\/strong>: Mega-cap tech drags indexes higher, masking weakness in the broader market.<\/p>\n<\/li>\n<\/ul>\n As Vermeulen notes, the setup eerily mirrors April 2024 and April 2025<\/strong>, when markets plunged 15\u201320%. The playbook is repeating, and Wall Street is sleepwalking into it.<\/p>\n Markets are attempting to price in Jerome Powell\u2019s Jackson Hole comments. But history shows:<\/p>\n Good news often sells off<\/strong>\u2014as traders take profits.<\/p>\n<\/li>\n Bad news can spark rallies<\/strong>\u2014because the fear is already baked in.<\/p>\n<\/li>\n Heavy selling in Big Tech<\/strong> signals that investors are no longer comfortable hiding in MAG7 stocks.<\/p>\n<\/li>\n<\/ul>\n Translation: the trigger doesn\u2019t matter<\/strong>. All that\u2019s needed is a catalyst to flip sentiment, and the floor could drop out.<\/p>\n Gold isn\u2019t just holding steady\u2014it\u2019s screaming a warning<\/strong>.<\/p>\n In 2007, as the S&P topped, gold surged 37%<\/strong>.<\/p>\n<\/li>\n Today, charts show the same bull-flag breakout pattern.<\/p>\n<\/li>\n Fibonacci targets point to $3,700\u2013$4,100 per ounce<\/strong>, with potential spikes toward $4,500<\/strong>.<\/p>\n<\/li>\n<\/ul>\n Vermeulen calls it a \u201crare setup\u201d with explosive upside potential. And it\u2019s not just charts\u2014COMEX deliveries show massive physical accumulation<\/strong>. The smartest money is stacking metal before it disappears from the market.<\/p>\n Silver\u2019s chart is noisy, but the upside is real.<\/p>\n Short-term target: $40.75<\/strong><\/p>\n<\/li>\n Breakout potential: $50 all-time high<\/strong><\/p>\n<\/li>\n Historically mirrors gold\u2019s 30\u201340% surges during market panics<\/p>\n<\/li>\n<\/ul>\n But silver moves fast\u2014sometimes in one or two days<\/strong>. Blink, and the opportunity is gone.<\/p>\n While gold miners (GDX, GDXJ) are showing strength, they\u2019re still tethered to the stock market. When equities fall, miners feel the drag.<\/p>\n In 2007, physical gold outperformed miners<\/strong> with less volatility.<\/p>\n<\/li>\n Silver also matched gold\u2019s gains, but with higher risk.<\/p>\n<\/li>\n The true \u201cwealth preservation play\u201d is still physical gold and silver<\/strong>\u2014tangible assets outside Wall Street\u2019s paper casino.<\/p>\n<\/li>\n<\/ul>\n If this really is the calm before the storm<\/strong>, the race for tangible wealth protection has already begun:<\/p>\n Wealth Preservation<\/strong>: Unlike stocks, gold never goes to zero.<\/p>\n<\/li>\n Inflation Hedge<\/strong>: Fiat currencies erode, metals endure.<\/p>\n<\/li>\n Gold vs. Dollar<\/strong>: As confidence in the dollar weakens, gold strengthens.<\/p>\n<\/li>\n Crisis Insurance<\/strong>: In a financial reset, physical metals are often unobtainable at any price.<\/p>\n<\/li>\n<\/ul>\n Vermeulen himself admits: \u201cI just keep stacking it. I want to have it in hand.\u201d<\/em><\/p>\n A massive market crash<\/strong> may not happen tomorrow\u2014but the setup is here, and the warning signs are undeniable. Whether the correction is 15%, 25%, or the start of a reset, the message is clear: the time to prepare is before the panic, not after.<\/strong><\/p>\n Gold is screaming. Silver is surging. Are you listening?<\/strong><\/p>\n ITM Trading has over 28 years of experience helping clients safeguard their wealth through personalized strategies built on physical gold and silver. Our team of experts delivers research-backed guidance tailored to today\u2019s economic threats.<\/p>\n
\nMarket Cracks Beneath the Magnificent Seven<\/h2>\n
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\nFed, Fear, and the Tipping Point<\/h2>\n
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\nGold: The Market\u2019s Canary in the Coal Mine<\/h2>\n
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\nSilver: The Wild Card<\/h2>\n
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\nGold vs. Miners: Don\u2019t Be Fooled<\/h2>\n
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\nWhy Physical Gold and Silver Matter Now<\/h2>\n
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\nConclusion<\/h2>\n
\nAbout ITM Trading<\/h2>\n