Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical and Quantitative Research

Expecting SPX Rally to Fizzle at 5490-5500 or 5785; Still Bearish/Cautious and Defensive

Upgrading Consumer Staples to Overweight; Short-Term Bottom Potential Here

Invest As If the Lows Are In; EURO STOXX 50 and TOPIX Reclaim Key Levels

Cautious Outlook; Get Defensive and Sell Rallies; Upgrading Energy; Downgrading Technology

Major Low Likely in Place on S&P 500; Bullish Outlook Intact if Above 5500-5600

S&P 500, NYSE Comp, QQQ Find Initial Support; Strong Buying Demand Suggests Local Low at Minimum

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical Analysis

<ul>
<li>Since late-February (2/25/25 Compass) we expected an 8-10% pullback to provide a buying opportunity. But that all changed in last week's Compass (4/1/25), when we downgraded our outlook to bearish/cautious.</li>
<li>A historic selloff has ensued and significant damage has been done as market dynamics have worsened.</li>
<li>Until we see some base-building process develop alongside improving market dynamics, we remain cautious and we continue to favor defensives as long as the SPX is below its 200-day MA.</li>
</ul>


Since late-February (2/25/25 Compass) we expected an 8-10% pullback to provide a buying opportunity. But that all changed in last week's Compass (4/1/25), when we downgraded our outlook to bearish/cautious.
A historic selloff has ensued and significant damage has been done as market dynamics have worsened.
Until we see some base-building process develop alongside improving market dynamics, we remain cautious and we continue to favor defensives as long as the SPX is below its 200-day MA.


Laboratory Corporation of America Holdings (LH US)

Laboratory Corporation of America Holdings

S&P 500 and Nasdaq 100 Testing Prior 2022 Highs; Still Bearish and Cautious

S&P 500 INDEX

S&P 500 and Nasdaq 100 Testing Prior 2022 Highs; Still Bearish and Cautious