S&P up to 2277. Low reached 2268. S&P bounces off 200 hour MA
The S&P index was down around -26 points at the lows. It is now down about -17 points or -0.76% at 2277.
Looking at the hourly chart, the low extended to the 200 hour MA (at 2268.61 currently) and bounced. That was also near the 50% of the moved up from the Dec 30th low (that level is at 2267.31). So, a decent support level held at the lows. Can the market build from that bounce?
We are seeing the price move back above the 100 hour MA now at 2275.25. If that MA can now hold, we could see some further correction into the close and traders who are long will breathe more easily.
Meanwhile over in bond market, the action is quiet. The 30 year remains up above 2 BPs (it was up 2 BP at the start of the day). The 10 year is little changed. If anything, the 2 year is down a fraction of a pip from Friday's close.
Gold is up $3 now. It was up about $8 at the peak of the day.
The USDJPY is trading back higher and tests the underside of the broken trend line (see hourly chart below).
