Markets Headed For ’50% Pullback’, ‘Wipe Out Retirements’ | Chris Vermeulen

Summary

Chris Vermeulen, Chief Market Strategist at The Technical Traders, says the March 10, 2025 selloff is a panic washout that could produce a short-term bounce, especially in oversold tech and the Magnificent 7. He still expects a larger bear market with a 40-50%+ decline that could break the 2022 lows, so he favors cash now and plans to use inverse ETFs after the bounce rolls over. He is also cautious on Bitcoin, gold, the US dollar and housing, while seeing TLT as the best bond play if forced to choose.

• Chris sees panic selling via VIX and 7-to-1 NYSE down/up volume, suggesting a short-term low and bounce.
• He expects the Nasdaq and Magnificent 7 to be most oversold and potentially have the strongest bounce into late March.
• Longer term, he warns the US equity market has topped and could fall 40-50%+ and break the 2022 lows.
• He is most bullish cash for the next couple of weeks and plans to use inverse ETFs when the market rolls over again.
• He would pick TLT over stocks this year if forced, though he says bond timing remains uncertain.
• He is cautious or avoid-oriented on Bitcoin, gold, the US dollar and the US housing market.