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2 Apr 2018

Backfire to Correction

Post by MoneyRadio Staff

…Major stock indices suffer technical breakdown. Trade wars backfire. Easter tweets against DACA, NAFTA, and Amazon. Apple will dump Intel. ISM slips. Construction spending flat. Yield curve flatter. Crude slide. EPA CAFÉ battle. Financial Review by Sinclair Noe for 04-02-2018 DOW – 458 = 23,644 SPX – 58 = 2581 NAS – 193 = 6870 RUT – 36 = 1492 10 Y  – .01 = 2.73% OIL – 2.09 = 62.85 GOLD + 15.80 = 1341.80 This is looking very ugly. The S&P 500 was down 2.2% to start the second quarter. It was the worst opening day for the second quarter since 1929.  We were telling you that the S&P 500 was trading above its long-term support. About 10 days ago, we said it was likely the S&P would hover just above support heading into the end of the quarter – and that happened. We are now in the second quarter, and we saw the breakdown today. The 200-day moving average for the S&P 500 is 2589. The intraday low for the S&P was 2553, and we closed at 2581 – definitely below the 200-day moving average. This is the first time the S&P 500 has closed below the 200-day MA since June 2016 – or another way to view it, the S&P has been above this key trendline for 443 sessions. Now, the length and strength of the bull run would indicate there will be a bounce back, or at least an attempt to bounce back.  The S&P …

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Source: Financial Review