News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • The price of Brent crude oil continues to soar, touching highs last seen three years ago as demand outstrips supply. Get your #crudeoil market update from @nickcawley1 here:https://t.co/vrVxkoVBxQ https://t.co/Qf74MIyEmp
  • Heads Up:💶 ECB Panetta Speech due at 13:45 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-09-28
  • $USD fresh 2021 high didn't get much traction on the first test above resistance, but it's been quite the move since last week. Friday should be a big day for the USD - PCE, ISM and Sentiment numbers https://t.co/TfIp6Z8mBr https://t.co/qtFaKzxHIJ
  • Gold and silver not having a good day so far, rising US Treasury yields is a headwind for precious metals and non-interest bearing assets in general #trading $XAUUSD $XAGUSD
  • US 10-YEAR YIELD RISES TO 1.53%, LAST WEEK IT WAS SITTING BELOW 1.30%. THE RAPID INCREASE IN TREASURY RATES IS BAD FOR TECH STOCKS, NASDAQ AT RISK, $ARKK COULD ALSO SUFFER HEAVY LOSSES #TRADIDG $NDX
  • there it is $USDJPY up for a test of the 2021 high fibo level at 111.61, next major level at 112.50 this zone has held the highs in 2019, 2020 and so far in 2021 https://t.co/PwShmUDOn0 https://t.co/in6dnrIq0Q
  • ...let's see how far the brinkmanship goes and whether the rating agencies feel a rating downgrade is necessary for the constant pressure on its finances
  • - Financial markets have brought forward prospects for BoE tightening into 2022, this is not supportive for inflation surge
  • Treasury Secretary Yellen will no doubt be touching on this at today's Senate Finance Committee meeting, but she has sent a formal letter to Congress to say the US will likely hit its debt ceiling by October 18th
  • US likely to hit debt ceiling by October 18th - Treasury Secretary Yellen
S&P 500 Technical Outlook: Wedge Breaks

S&P 500 Technical Outlook: Wedge Breaks

Paul Robinson, Strategist

What’s inside:

  • The S&P 500 breaks below lower trend-line
  • But needs to clear through some support at hand before momentum can kick in
  • Expectations for strong moves remains low during summer trading environment

The last time we discussed the S&P 500 (on Friday), we were focusing on the funneling price action unfolding towards the apex of an ascending wedge. After making one more push to another record high on Monday, the S&P pulled off the top-side of the wedge, and as of yesterday it broke the bottom-side trend-line of the contracting pattern. This tentatively exposes the market to further losses, but we will need to see a drop below the 2178/74 zone (top of the previous range) and the 8/10 low at 2171 before momentum can kick in. Those levels until broken, remain support.

On a break, though, it won’t be long before another area of support comes into focus around 2155/60, with the lowest pivot over the past month coming in at 2147.

S&P 500 Technical Outlook: Wedge Breaks

Things are ‘tight’ right now. Our confidence level in seeing anything with strong momentum at this juncture is low; it’s turning out to be one of those low volume, low volatility August trading environments we’ve been discussing as of late. With that said, we need to continue to be careful as the risk of the market providing false signals is high.

However, even though the trading environment isn’t the most ideal there are still opportunities to take advantage of, just in smaller doses.

Hone your skills as a technical trader by taking a look at some of our free trading guides.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES