SPY Technical Analysis for Friday August 18, 2023
SPY Working Through H1 Range, Eyes on 435.50 - 436.36 M15 Range
Federal Reserve's Tightening Policy Concerns Impact Markets; 10-year Treasury Yield Nears 2007 High
US stocks dropped for the third consecutive day due to an intensified global bond market selloff, negatively impacting tech giants. The Nasdaq 100 suffered a 3.2% decline over three days, marking its worst performance since February. Concerns about the Federal Reserve's capacity to halt interest rate hikes, especially with officials considering a tighter policy, contributed to this fall. The 10-year Treasury yield rose by eight basis points to 4.33% on Thursday, nearing a high since 2007. Despite strong labor market data, the narrative remained unchanged.
The Wall Street Cboe Volatility Index (VIX) reached 18, its first time in seven sessions, but hasn't exceeded 30 since March, a threshold signaling heightened volatility. Investors are focusing on an upcoming policymakers' meeting in Jackson Hole, Wyoming, for insights into the Fed's stance.1
SPY Hits Resistance at 441.25 Pivot, Nears -1 SD (435.69) from M15 Range
SPY Sweeps 437.06 on the Weekly Chart
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