Recession fears spark downfall of S&P500.
“S&P500 droops as recent data shows looming recession in the US.”
US equities tumbled down, seemingly on track to end the week in red as investors digest recently released economic data from the US. According to report, headline producer price index fell more than expected while a slump in retail sales despite holiday’s season sparks strong speculation of a possible recession. For the time being, investors will wait for future release of economic data from the US to attain more signals.
Quick recap of S&P500
The index remains subjected to downward trendline as overall downside pressure remains prominent.
S&P500 Weekly Technical Analysis
From weekly perspective, the index retraced from trendline while currently testing at 3917.72. This level may determine the course of its trend for short-to-mid-term.
S&P500 Daily Technical Analysis
From daily perspective, MACD shows substantial decrease in upward momentum. We expect the index to extend its losses after a successful close below 3917.72.
ORDER: SELL STOP
STOP LOSS: 3960
Target 1: 3840
Target 2: 3800
ZFX Analyst’s Comment
The index is expected to reinforce its downside momentum soon after a successful close below its nearest support level.
Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.
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