Market Warning Signals Are Increasing as Capital Quietly Rotates
From my perspective, what we are seeing right now is not a market that is preparing for the next major leg higher across the board, but one that is quietly flashing late-cycle signals. When multiple topping indicators begin to align, momentum starts to stall, and sentiment becomes one-sided, history shows that risk is rising, not falling. This is often the phase where capital starts rotating aggressively between assets rather than lifting everything together, which is why volatility tends to increase, and surprises catch investors off guard.
In environments like this, protecting capital and respecting exit signals becomes far more important than chasing strength. Assets such as gold, silver, miners, and even Bitcoin can still show impressive momentum bursts, but those moves frequently occur near the later stages of a cycle and are often followed by sharp corrections. Bond yields and leveraged products are also sending important signals, suggesting that the market may be closer to a reset than most headlines imply. As always, the goal is not to predict the future, but to stay aligned with what price, trend, and capital flows are telling us right now.
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The topics David and I discussed include:
- 0:00 – Intro.
- 1:15 – Topping indicators
- 3:02 – Metals and a correction
- 5:35 – Rotation
- 10:23 – Gold and silver momentum
- 14:09 – Bitcoin and Gold
- 17:44 – Miners and exit strategy
- 21:53 – Conference sentiment check and leveraged products
- 24:16 – Bond yields pointing toward 8.3% and asset rotation strategy
Chris Vermeulen
Chief Investment Officer
TheTechnicalTraders.com
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