The Crypto market usually also has a rough time in September. Bitcoin lost 12.7% in September 2021, 17.4% in 2020, 17.5% in 2018, 21.4% in 2017 and 45.4% in 2015. The main cryptocurrency increased by 13.3% and 3.95% in 2016 and 2019, respectively.
Stock Market Drops. Will Correction Continues?
2022-03-15 • Updated
The US broad-market index, S&P 500, has been pressed below the 50-day moving average for the first time since March! Why?
- Investors are waiting for the Federal Reserve to hold a meeting on Wednesday. The central bank isn’t likely to take some hawkish actions, but it may hint at tapering this year. This will be good news for the US dollar and negative for the stock market. The anticipation of this decision is already setting the market in motion.
- The overall sentiment is pressing not only the US stock indices but also the Hang Seng index and an Australian one. Besides, most of the risk-on assets are losing their value while the US dollar is getting stronger.
- Quadruple witching is adding to the increased volatility as well. It is the simultaneous expiration of four kinds of options and futures contracts.
The S&P 500 index (US500) has dropped below the lower line of Bollinger Bands, which means that the price is at extreme lows and it’s going to reverse up soon. However, the correction may continue if the index breaks below the support line of 4380. The stock index may reach the 100-day moving average of 4335.
Not to miss the reversal, we highly recommend you add the MACD indicator to your chart and monitor the breakout above the zero line. When it occurs, it would signal the upcoming reversal up.
Resistance levels are the 50-day moving average of 4430 and the middle line of Bollinger Bands at 4500.
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Warren Buffett, the American businessman and philanthropist, has put most of Berkshire Hathaway’s cash in short-term United States Treasury bills since they offer as much as 3.43% in yields.
US100 broke through the strong resistance trendline, following July's inflation numbers on Wednesday, which were less than analysts expected…
The views here are solely based on Technical Analysis techniques using my personal Smart Money approach. Hence, it is important to understand that the trading of CFDs comes at a risk; if not properly managed, you may lose all of your trading capital. To avoid costly mistakes while you look to trade these opportunities, be sure to do your own due diligence and manage your risk appropriately.
Even though we've only witnessed sluggish movements from the Dollar over the past few weeks, the general idea and bias still seem intact and untampered. The bullish impulse however can be seen as "searching for support".
Suddenly, the US Dollar Index fell 6.70% over the last two weeks, marking the biggest decrease in the currency since 2020.