Good morning traders!
The S&P 500 ($SPY) is trading lower from yesterday’s close. Let’s get into it…
The $SPY showed its weakness yesterday near the end of the trading session making new lows on the day before the market closed. The $SPY dropped to $381.10 pre-market, making a gap on the daily chart that bulls will be watching to try and fill. The team at DailyBubble believes the underlying fears in the market are still present, and that sellers are nearby waiting for an opportunity to short the market. We advise everyone to size down, and trade with caution as the market could go either direction very quickly.
In the news, President of the St. Louis Federal Reserve James Bullard stated that he is in favor of a 0.75 percentage point increase in interest rates and that the Fed’s target of 2 percent inflation can be achieved without negatively impacting the economy. “Now we have lots of inflation, but the question is, can we get (inflation) back to 2% without disrupting the economy? I think we can.” Esther George, President of the Federal Reserve Bank of Cleveland also spoke and said, “I’m certainly sympathetic to the view that interest rates need to increase rapidly, recognizing that current rates are out of sync with today’s economic landscape,” “However … policy changes transmit to the economy with a lag, and significant and abrupt changes can be unsettling to households and small businesses as they make necessary adjustments.”
Potential Intraday Resistance Levels:
7/12/22 Low of Day: $383.50
7/12/22 Market Close: $384.23
EOD VWAP: $384.74
5D EMA (1Y:1D): $385.19
9D EMA (1Y:1D): $384.22
Potential Intraday Support Levels:
20D SMA (1Y:1D): $380.16
Note: Moving averages are reported from the previous trading session and will change during the next trading session.
Tuesday Economic Events:
NFIB Small Business Index 6:00am ET
Redbook Sales 8:55am ET
WASDE Report 12:00pm ET
API Crude Oil Report 4:30pm ET
Fed Speaker Scheduled:
Thomas Barkin 12:30pm ET
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.