Summary
March has come ‘in like a lion.’ Let’s see if it goes ‘out like a lamb.’ The major indices saw downside follow-through Tuesday morning following Monday’s wreckage, but bounced hard after hitting key support levels. The S&P 500 (SPX) was down 2%, clawed its way back to positive territory, but then plummeted in the last 35 minutes of the session, finishing off 1.2%. The Nasdaq and Nasdaq 100 were the stars of the day, declining only 0.4%, while the S&P 100 dipped 1.1%. The small-cap and mid-cap indices were the weakest again, down 1.5% to 1.6%. The 5,773 region for the SPX is key as there is a cluster of support there. It represents chart support from the prior low in January, the rising 200-day average, and a 38.2% retracement of the rally since August 2024. Since the SPX started its descent from an all-time closing high on February 19, the index has given back 6% in nine days. The next important zone of support is between 5,630 to 5,650 — which is the last major breakout area, the location of the 50-week, and a 50% retracement of the rally since August. The QQQ has tanked 8% from its all-time high nine days ago. Support in the
Source: finance.yahoo.com