What is the VIX and why does it matter for trading?

The VIX (CBOE Volatility Index) measures market fear and expected volatility. VIX below 20 is considered normal and favorable for options trading. VIX above 30 indicates extreme fear and high risk. Traders use VIX to adjust position sizes and risk management.

How do sector rotation signals help with trading decisions?

Sector rotation analysis shows which market sectors are leading or lagging. When defensive sectors (utilities, healthcare, staples) lead, it often signals risk-off sentiment and potential market weakness. When growth sectors (technology, consumer discretionary) lead, it indicates risk-on sentiment and bullish conditions.

What technical indicators are most important for market conditions?

Key technical indicators include: RSI (Relative Strength Index) for overbought/oversold conditions, MACD for momentum and trend direction, 50-day and 200-day EMAs for trend confirmation, and price action relative to these moving averages. A bull market typically shows price above both EMAs with positive MACD.

How do economic events affect market conditions?

High-impact economic events like Fed interest rate decisions, CPI reports, and employment data can cause significant market volatility. Traders often avoid opening new positions right before these events. Fed meetings are particularly important as they set monetary policy direction.

Market Conditions

Maya's real-time assessment of market health and trading conditions

Today's Take

💼 Elevated fear in the market as VIX hits 20.2, signaling risk-off sentiment despite a bull market regime. Traders should remain vigilant as bearish MACD suggests potential headwinds, especially with defensive sectors like XLU and XLP leading the way.

After Hours
Updated: Feb 06, 22:59 UTC

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Normal - Slight Caution

Maya's Current Trading Stance

Market conditions are acceptable with slight caution. Normal trading with prudent risk management.

53%

Allocation Level

VIX & Fear Gauge

Market volatility and sentiment

Favorable: VIX 13-20 is ideal for options trading.

Neutral

17.8

VIX Level

Rising

View Full Fear Gauge

QQQ Technicals

Nasdaq 100 trend and momentum indicators

Bearish Setup: 3 of 4 indicators negative.

$609.65 -1.1% from 50 EMA

RSI (14)	44.0 (Neutral)
50 EMA	616.49
200 EMA	572.02
Trend	Bull Market
MACD	Bearish

Sector Rotation

Which sectors are leading vs lagging the market

⚡ Cyclical sectors like XLE, XLV, and XLI are leading the charge, reflecting economic optimism amid strong energy demand and healthcare resilience. Conversely, lagging sectors like XLY and XLK indicate that consumer discretionary and tech are facing headwinds, signaling caution for growth-oriented strategies.

Leading Sectors

XLE - Energy XLV - Healthcare XLI - Industrials

Lagging Sectors

XLRE - Real Estate XLY - Consumer Disc. XLC - Communication

Why it matters: Money flows between sectors in predictable patterns. When defensive sectors lead in a bull market, it often precedes a correction. When growth leads after a downturn, it signals recovery. View Full RRG Chart

S&P 500 Sector Heatmap

Live visualization of sector performance by market cap - updates automatically

Sector ETFs Performance

Real-time charts of major sector ETFs (XLK, XLF, XLE, XLV, XLI) - updates automatically

Risk Factors

Conditions that may negatively impact trades

Moderate Risk: Two risk factors present. Consider tighter stop losses.

Defensive sectors leading in bull market - reduced 25%
MACD bearish - reduced 25%

Bullish Factors

Positive conditions supporting upside

Some Support: One bullish factor present. Wait for additional confirmation.

50 EMA above 200 EMA (bull market)

Overall: Mixed/Neutral Environment

1 bullish factor(s) vs 2 risk factor(s). No clear edge - be selective and wait for better setups.

Economic Calendar

High-impact events that can move markets

📊 Today's release of Average Hourly Earnings and Nonfarm Payrolls will be crucial for gauging wage growth and labor market strength. Surprises here could impact Fed policy outlook, driving sector volatility and impacting growth stocks particularly hard if inflation remains sticky.

Today

Average Hourly Earnings (MoM)
1:30 PM ET

High Impact

Average Hourly Earnings (YoY)
1:30 PM ET

High Impact

Nonfarm Payrolls
1:30 PM ET

High Impact

Upcoming This Week

Initial Jobless Claims
Thu, Feb 12 @ 8:30 AM

High

Consumer Price Index (MoM)
Thu, Feb 12 @ 1:30 PM

High

Consumer Price Index (YoY)
Thu, Feb 12 @ 1:30 PM

High

Consumer Price Index ex Food & Energy (MoM)
Thu, Feb 12 @ 1:30 PM

High

Consumer Price Index ex Food & Energy (YoY)
Thu, Feb 12 @ 1:30 PM

High

View Full Economic Calendar

Earnings Calendar

Major company earnings that affect market sentiment

📈 Earnings spotlight on COP, AMZN, and LLY this week, with a heightened focus on how these major players navigate cost pressures and labor market dynamics. Strong results may reinforce bullish sentiment, but caution remains essential amid rising fears of economic slowdown.

Reporting Today

AMZN LLY

View Full Earnings Calendar

How Maya Adjusts to Market Conditions

VIX-Based Allocation Rules

VIX Level	VIX Falling	VIX Rising
> 30 (Extreme Fear)	Max 20%	Max 1% (Stop Trading)
25-30 (High)	Max 30%	Max 3%
20-25 (Elevated)	Max 50%	Reduced 50%
< 20 (Normal)	Full allocation (with trend confirmation)

Additional Adjustments

RSI Overbought: 5% step decrease when QQQ RSI > 70
Defensive Rotation: 25% reduction when defensive sectors lead in bull market
Weak Trend: Cap at 30% when VIX is low but MACD or EMAs don't confirm
Full Allocation: Only when VIX < 20, MACD positive, AND 50 EMA > 200 EMA

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