The major stock indices or training to new session highs. Looking at the broader S&P 500 index, it is back above its 200-day moving average of 4235.30.
Recall from Friday, the price closed below that moving average for the 1st time since March (bearish). In trading today, the selling continued at the open with the price approaching the 38.2% retracement of the move up from the October 13, 2022 low. That retracement level came in at 4180.95. The low price today reached within 9 points of that level 4189.22, but could not go any further. A turnaround in yields (to the downside), kickstarted the stock market in the process. That momentum is now continuing with the stock markets break above the key 200 day MA level.
What next?
The move above the MA tilts the bias back to the upside. Staying above is more bullish with a close above giving buyers more confidence technically.
Meanwhile, the NASDAQ index is now up 109.52 points or 0.4% at 13093.66. It traded down -134.98 points at session low before moving higher.
