LIVE MARKETS S&P 500: As traders tango, it's correction vs momentum

LIVE MARKETS S&P 500: As traders tango, it's correction vs momentum ...

  • U.S. equity index futures rise: Nasdaq 100 up >1%
  • Euro STOXX 600 index up ~0.8%
  • Dollar dips; crude slips; gold, bitcoin gain
  • U.S. 10-Year Treasury yield rises to ~1.98%

The 23rd of February, Reuters journalists send you a real-time report to you. You may also share your thoughts with us at the email address.

AS TRADERS TANGO, IT'S CORRECTION VS MOMENTUM (0900 EST/1400 GMT) S&P 500: AS TRADERS TANGO

The S&

The SPX has closed at its lowest level since October-4 of last year. Despite having yet to breach its intraday trough at 4,222.62 during the day, it has failed to reach the conclusion.

Daily momentum readings might spawn glimmers of hope. This as a ruthless RSI may develop.

In the early stages of the declines, the RSI failed to acquire the strength necessary to reclaim the overbought threshold, resulting in the SPX going to lower lows.

In these instances, the SPX fell, but the RSI was capable to form a higher trough, despite less severe downside momentum reaching larger SPX levels.

The RSI fell to 16.082 on January 27, bringing the SPX to more than 6% in four trading days. Despite this, the RSI failed to reclaim excessively, and the SPX has now reached a new closing low.

However, with the RSI ending Tuesday at 32, a positive convergence has the potential to solidify, with the 16.082 late-January low now the key level on the indicator.

The dance between the SPX and the RSI will be viewed by traders quite often.

Aside from that, the SPX receives Fibonacci retracement support for its entire March 2020/January 2022 increase, which will be 4,198.7 and 3,815.2.

(Terence Gabriel)

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