Insider Tips - Weekly Stock Market Report - Week November 3, 2025
Insider Tips for November 3, 2025
Post-Halloween Rally or Caution Ahead?
Hey everybody, it’s Mark Yegge. We just wrapped up the Halloween week, and the market treated investors to a mostly green setup — but not without a few tricks hidden underneath the surface. Even though the indexes look strong, the breadth of the market is weak. A handful of big names are doing the heavy lifting while many smaller stocks have slipped into the red.
Our Cash Flow Machine system still shows three green lights and one red, but that red one — momentum — is flashing a subtle warning. It tells us buying enthusiasm is fading. We could soon see a shift back to yellow, which means caution and discipline should be our focus now. The market remains technically healthy, but the tone has changed from full-speed-ahead to a slow, cautious climb.
π Technical Analysis & Market Trends
We came into this week fully green after Monday’s strength — all four of our system’s indicators were aligned. But midweek, momentum slipped back to red, creating a mixed picture. That means while prices remain high, the internal strength behind those prices is weakening.
The S&P 500 and NASDAQ are still holding their uptrends, but their candles have shrunk, showing smaller daily ranges — often the first sign of consolidation. The Dow Jones has flattened, reflecting softness in industrials and financials, while the Russell 2000 (small caps) has actually turned down slightly. That’s not ideal. It shows the rally is narrow, led by only a few stocks rather than broad participation.
Breadth indicators confirm this story. There are more stocks declining than advancing, even as the indexes print green numbers. This kind of divergence often leads to sideways action or mild corrections before the next leg higher. Volatility has crept up slightly from recent lows, showing that traders are hedging again, but it’s not signaling panic — more like precaution.
From a trend perspective, the long-term picture still looks solid. Major averages remain above their 50-day and 200-day moving averages, which keeps the bullish bias intact. We’re simply seeing a market that’s digesting its gains after a strong run.
πΌ Individual Stocks & Sectors
The mega-cap leaders continue to dominate — Apple, Microsoft, and Nvidia are doing the heavy lifting. They’re keeping the indexes in green territory even while many smaller and mid-cap stocks drift lower.
Financials and industrials have lost some momentum, while energy is stabilizing after recent volatility in oil prices. Consumer discretionary stocks are mixed — some benefiting from early holiday optimism, others feeling the pinch of high rates and cautious spending.
For those of us running the Cash Flow Machine strategy, this type of market is ideal. Volatility has firmed up just enough to boost option premiums, giving us plenty of opportunity to sell covered calls and cash-secured puts. While traders chasing price are getting chopped around, we’re still collecting steady income from time decay.
Bitcoin has remained relatively strong, tracking alongside equities as risk appetite stays intact. But similar to stocks, it’s looking extended — so a short-term pullback or consolidation wouldn’t surprise me.
π‘ Key Takeaways
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β The market remains technically green, but momentum is weakening.
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β οΈ Breadth is thin — only a few large caps are leading.
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π Momentum flipped red midweek — an early caution signal.
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π° A favorable setup for income traders selling premium in a range-bound market.
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π§ This is the time for discipline, not prediction — follow the system.
π Conclusion
Last week’s rally may have looked strong, but the internals tell a different story. The market is still green, but losing some of its energy. I’m staying bullish overall, but with a cautious stance — ready for a potential yellow signal in the coming days.
This isn’t the time to chase trades; it’s the time to stay mechanical, keep selling premium, and let the system guide you. Markets like this separate the emotional traders from the pros who focus on process.
As always, stick to your plan, manage your risk, and — let’s keep squeezing the juice. π
Current Market Condition:
The market remains technically green, but signs are emerging that the rally is starting to lose steam. Momentum has softened, with one of our key indicators — the momentum light — flipping red while the others stay green. This mix signals a possible transition toward a yellow, cautionary phase. On the surface, the indexes still look strong, thanks mostly to big-cap stocks driving performance, but underneath, the market’s breadth is weak. Fewer stocks are participating in the move higher, and that kind of narrow strength often precedes consolidation. In other words, we’re still in an uptrend, but it’s time to stay alert and trade carefully — this green market is beginning to flash yellow.
π― The 4-Step Cashflow Blueprint: Step 3 — The Right Spot on the Chart
So far in this series, we’ve covered The Right Stock and The Right Market — two key cornerstones that stack the odds in your favor. Now it’s time for the third step: The Right Spot on the Chart.
Even if you own the perfect stock and the market is trending in your favor, timing still matters. Finding the right spot to enter a trade can make the difference between consistent income and unnecessary frustration.
π The Power of Probabilities
No one knows exactly when a stock will bottom or top — not even the pros. But you can dramatically improve your odds by learning to spot high-probability setups on the chart. These are areas where price action, volume, and momentum align to give you the best chance of success.
When you combine the right stock and the right market with the right spot, you’re stacking probabilities — moving your win rate from 50/50 toward 65% or better. And in the Cash Flow Machine, that edge can make all the difference.
π Tools for Spotting High-Probability Entries
Here are some of the tools I use to identify those powerful entry zones:
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Moving Averages: Especially shorter-term ones (like 8, 21, or 50-day) to spot trends and crossovers.
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Support and Resistance: Look for levels where prices consistently bounce or stall — these zones often mark turning points.
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Volume Confirmation: When volume increases on a breakout or bounce, it confirms that real buyers are stepping in.
These tools help you identify the “sweet spots” — where stocks transition from consolidation to breakout, or from high volatility to smoother, upward movement.
βοΈ Chart Patterns That Matter
Look for classic chart formations that signal accumulation or breakout potential:
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Cup and Handle
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Double Bottoms
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Consolidation Ranges
The longer a stock consolidates, the stronger the potential breakout that follows. Think of it like a spring — the tighter it coils, the more powerful the move when it releases.
π‘ The Takeaway
The right spot on the chart isn’t about guessing the bottom — it’s about recognizing where the odds favor your next move. When you learn to wait for these setups, your trades feel calmer, your entries cleaner, and your account stays greener longer.
Add this cornerstone to the first two, and you’re now operating with about a 65% probability edge in your favor — a major advantage over the average investor.
π Next Week: Step 4 — Squeeze the Juice. π
That’s where it all comes together — turning your fortress stocks, market tailwind, and perfect entry points into real, repeatable cash flow.
