S&P 500 (SPY) Report – 03/31/23

Good morning traders!

The S&P 500 ($SPY) is trading above yesterday’s close. Let’s get into it…

The first quarter of 2023 is coming to a close, and the technology-heavy Nasdaq Composite, has gained 20% since its low point at the end of December. This technically marks the entry into a bull market, which is typically characterized by a sustained increase in stock prices. Investors often view big gains in the Nasdaq-100 as a sign of increased appetite for risk and high-growth companies. However, it’s important not to mistake hitting this landmark for a buy signal.

While the Nasdaq-100 has performed well, other stock indexes haven’t fared as well. For example, the Dow Jones Industrial Average is still down for the year. One factor that could affect the stock market going forward is interest rates. In 2022, rising interest rates put pressure on stocks, leading to a sharp decline in many indexes. While interest rates haven’t increased as much in 2023, the Federal Reserve has signaled that it may continue to raise rates in the coming months. If this happens, it could lead to renewed volatility in the stock market.

While the Nasdaq index may continue to rise, it’s still too early to assume that this is a sign of a sustained bull market. Investors should be cautious and not jump into the market without carefully evaluating the risks involved.

Trade Ideas:
The S&P 500 has been making impressive gains lately, recently surpassing its trading range of $400. The market momentum appears to be strong and may carry over into today’s trading session. However, as the quarter comes to an end, some investors may opt to take profits, potentially leading to some volatility in the market.

One area to watch is the 50-day Simple Moving Average (SMA) on a 15 and 30-minute chart, which has previously shown support during trading sessions. Another useful indicator to monitor is the Volume-Weighted Average Price (VWAP), which can provide insight into the average price that traders have paid for a security.

Thursday Economic Events:
Personal Income and Outlays 8:30am ET
Chicago PMI 9:45am ET
Consumer Sentiment 10:00am ET
Baker Hughes Rig Count 1:00pm ET
Farm Prices 3:00pm ET

Fed Speaker Scheduled:
John Williams 3:05pm ET
Lisa Cook 5:45pm ET
Christopher Waller 10:00pm ET


DailyBubble’s Disclaimer
This article provided by the DailyBubble team should only be considered as informational and/or entertainment by the reader. DailyBubble makes no representation to buy or sell any security or financial instrument within the article. Readers seeking investment advice should seek independent financial advice from a professional, and independently research and verify. The DailyBubble team wrote this article and may express its own opinions therein.

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