Technical Indicator Summary Daily RSIs for the S&P 500 and Russell 2000 are in neutral territory (> 30 and < 70). Technical Review The December S&P 500 jumped +1.28% on Wednesday, settling @ 7640.50. Coming into Wednesday, the top of Hedgeye’s risk range was 7657 while the bottom was 7327 (red lines on the chart above). For the S&P 500, there are three volatility regimes: 1) the bullish investible bucket (VIX < 19), 2) the chop bucket, (VIX = > 19 and < 29), and 3) the bearish F-bucket (VIX > 29). The VIX finished Wednesday’s session near 17.47. Option dealer gamma remains in negative mode as of Wednesday’s close. When option dealer gamma is negative, option dealers mechanically SELL weakness and BUY strength to hedge their exposure. Negative gamma for option dealers increases the odds of HIGHER realized volatility and LARGER percentage moves up or down from one day to the next. When option dealer gamma is positive, option dealers mechanically BUY weakness and SELL strength to hedge their exposure. Positive gamma for option dealers increases the odds of LOWER realized volatility and SMALLER percentage moves up or down from one day to the next. Market Outlook A squeeze in CRWV shares appears to have ignited Wednesday’s tech-sector bounce. In fact, the Nasdaq 100 and S&P 500 each tested the tops of their respective Hedgeye risk ranges on Wednesday and still remain bearish Hedgeye trend (trend is the purple line). If you are looking to sell into a bearish trend, a great spot to do so is typically at the top of its Hedgeye risk range. We maintain the view that US equities are in the process of transitioning into a bear market. According to the CME’s FedWatch Tool, rate markets are pricing a 100% chance that the Fed hikes rates at its December 9, 2026 FOMC meeting. There is now a 12.7% chance that the Fed hikes by 50-bps.

Technical Indicator Summary Daily RSIs for the S&P 500 and Russell 2000 are in neutral territory (> 30 and < 70). Technical Review The December S&P 500 slipped -0.40% on Tuesday, settling @ 7544.25. Coming into Tuesday, the top of Hedgeye’s risk range was 7711 while the bottom was 7327 (red lines on the chart above). For the S&P 500, there are three volatility regimes: 1) the bullish investible bucket (VIX < 19), 2) the chop bucket, (VIX = > 19 and < 29), and 3) the bearish F-bucket (VIX > 29). The VIX finished Tuesday’s session near 19.46. Option dealer gamma remains in negative mode as of Tuesday’s close. When option dealer gamma is negative, option dealers mechanically SELL weakness and BUY strength to hedge their exposure. Negative gamma for option dealers increases the odds of HIGHER realized volatility and LARGER percentage moves up or down from one day to the next. When option dealer gamma is positive, option dealers mechanically BUY weakness and SELL strength to hedge their exposure. Positive gamma for option dealers increases the odds of LOWER realized volatility and SMALLER percentage moves up or down from one day to the next. Market Outlook A hot Oct. CPI inflation report sank US equity futures in early trading before paring losses ahead of Tuesday’s close. US Equity Markets are open for Veterans Day, however US Treasury markets are closed. The calendar for the remainder of the week is quiet with the Oct. PPI inflation report scheduled for Friday. NVDA reports earnings after the close on Tuesday, November 17. US equities are struggling and this may develop into a bear market in the coming month(s). Be sure to catch Hedgeye CEO Keith McCullough’s conversation with Schwab’s Liz Ann Sonders tomorrow: https://x.com/Hedgeye/status/2119827602407829969?a=wXq150kfD2k9-4ZTaT8&s=20 According to the CME’s FedWatch Tool, rate markets are pricing an 84.5% chance that the Fed hikes rates by 25 bps at its December 9, 2026 FOMC meeting.

Technical Indicator Summary Daily RSIs for the S&P 500 and Russell 2000 are in neutral territory (> 30 and < 70). Technical Review The December S&P 500 jumped +2.33% on Monday, settling @ 7402.00. Coming into Monday, the top of Hedgeye’s risk range was 7654 while the bottom was 7326 (red lines on the chart above). The VIX finished Thursday’s session near 19.98. Option dealer gamma remains in negative mode as of Monday’s close. When option dealer gamma is negative, option dealers mechanically SELL weakness and BUY strength to hedge their exposure. Negative gamma for option dealers increases the odds of HIGHER realized volatility and LARGER percentage moves up or down from one day to the next. When option dealer gamma is positive, option dealers mechanically BUY weakness and SELL strength to hedge their exposure. Positive gamma for option dealers increases the odds of LOWER realized volatility and SMALLER percentage moves up or down from one day to the next. Market Outlook The S&P 500 bounced back toward the top end of its Hedgeye risk range on Monday. Some of Monday’s bounce was likely aided by a -4% drop in energy prices. Negative gamma is also cunducive for large percentage moves in either direction as option dealers chase market direction by selling weakness and buying strength. There is still room for a further bounce, but our view is that we are in a developing bear market. We sent trade alerts to profits on most of our bearish positions last Thursday and we view this week’s bounce as a renewed selling opportunity. On Tuesday we get the October CPI report where Hedgeye forecasts another slight acceleration which follows last week’s hawkish jobs report.