The broader US stocks indice are lower. What are the technicals telling traders?
The broader U.S. stock indices rallied yesterday on optimism surrounding a reported ceasefire agreement in the Middle East. Today, however, markets gave back some of those gains after Iran appeared to push back on parts of the deal, creating renewed uncertainty.
Despite the early weakness, stocks have bounced off their lows following a stronger-than-expected University of Michigan consumer sentiment report, helping to stabilize risk appetite heading into the North American session. The SpaceX IPO is also anticipated with the first trade targeting $170 to $175 currently vs the IPO price of $135. .
From a technical perspective, the key question is whether buyers can build on the rebound and regain control. While the recent recovery has been encouraging for the bulls, there is still work to do before the charts signal a more convincing move higher.
In the video, I break down the key technical levels for both the S&P 500 and Nasdaq, highlighting the support and resistance areas that are defining the current battle between buyers and sellers. The buyers are making a play, but can they follow through? Watch the video to find out what levels matter most.
This article was written by Greg Michalowski at investinglive.com.