Market Repeating 2022; Nothing Is Safe In Next Financial Crisis Warns Trader | Chris Vermeulen
Speakers
Chris Vermeulen -- Chief Market Strategist at The Technical Traders
— Chopping Block co-host
Summary
- Chris Vermeulen warns markets are at a critical turning point, similar to 2022, with potential for a broad bear market affecting all assets, including a 60/40 portfolio devastation.
- He advises investors to step aside from equities, citing trendless, volatile conditions driven by political headlines, and recommends cash positions earning 4% to protect capital.
- Oil is a key catalyst; trend is bullish with potential to spike to $140, which would pressure consumers, increase inflation, and hurt stocks and bonds.
- Precious metals have likely topped: expecting 20+% pullback in gold and 30-40% in silver; they may sell off alongside stocks, losing safe-haven status.
- Short-term trading strategies involve using FOMO and panic selling indicators in downtrends, but for long-term wealth, avoiding volatility is preferred.
- S&P 500 critical support at 6,200; if breached, could lead to a significant bounce, but direction remains uncertain until confirmed by price action.
- AI disruption and high oil prices are fundamental catalysts for a market reset, with AI potentially undercutting business models.
- Energy stocks (e.g., XLE) have had a strong run but are now crowded and carry "elevator risk" of sudden drops if news changes.
- Gold and copper moving in lockstep indicate broad market fear, with everything moving together in a bearish tide.
- Sentiment tools show no extreme panic yet, but a further drop could trigger it, providing contrarian trading opportunities.
Trade Ideas
Chris states they "moved out of the equities market" and advises sidestepping due to trendless, volatile conditions reminiscent of 2022. Market is breaking down with critical support at 6,200, and high oil prices or AI disruption could trigger further sell-offs. AVOID because the risk of a bear market is high, and protecting capital is priority over trading in this uncertain environment. The market could bounce and resume an uptrend, but currently, the trend is down or sideways.
Chris says "I definitely wouldn't be shorting oil," "the trend is up," and oil could reach $140 based on Fibonacci extensions. High oil prices pressure consumers, drive inflation, and lead to lower stock and bond prices, similar to past cycles. WATCH because the bullish trend is intact, but he's not currently long, advising to monitor for long opportunities amid volatility. Geopolitical news could cause sudden reversals, making oil prices unpredictable and risky.
Chris discusses XLE, saying energy stocks have had a "huge run," feels "overdone," and would wait for a pullback before getting long. Energy sector is bucking the broader market trend but is crowded and could fall sharply if news changes, aligning with general market decline. AVOID because current levels are risky with potential for sudden drops, despite the bullish oil trend. Oil prices could continue to rise, boosting energy stocks, but the sector is vulnerable to a mass exodus on negative headlines.
Chris expects a "big 20 plus% pullback in gold," has exited positions, and identifies a bearish topping pattern with rejection at highs. Gold is moving in lockstep with stocks, not acting as a safe haven, and chart signals indicate weakness and potential decline. AVOID because holding gold now could lead to significant losses and wasted time during a likely correction. Gold could form a bull flag and rally later, but current technicals are negative.
Chris says "I think we're going to see at least a 30 to 40% pullback in silver," and notes volume has dried up, indicating lack of interest. Silver has topped alongside gold, is in a bearish phase, and could decline sharply in a broad market sell-off. AVOID due to expected sharp pullback, high volatility, and poor sentiment. Silver could rebound if market conditions improve, but currently shows signs of weakness.
Up Next
This The David Lin Report video, published March 30, 2026, features Chris Vermeulen discussing SPY, WTI, XLE, GOLD, SILVER. 5 trade ideas extracted by AI with direction and confidence scoring.
Speakers: Chris Vermeulen · Tickers: SPY, WTI, XLE, GOLD, SILVER