S&P500 index continues to be pressured: investors fear that the US is on the verge of a new trade war, and this is extremely unprofitable for business.
Yesterday, the authorities decided not to renew the old conditions for import duties on aluminum and steel from the EU and Canada. In response to this actions, the EU also plans to raise barrage duties, which may affect tobacco and orange juice. Industrial and consumer sectors lost about 2%. IT companies held the market from the further decline. In general, the situation remains negative for the stock market and the probability of a decline is more likely.
Today certain important releases for the US economy will be published: on the unemployment rate and Nonfarm Payrolls. If the data will be better than the forecasts, it can support stock market quotes.
Support and resistance
Stochastic is at 63 points and does not provide a signal for the opening of positions.
Resistance levels: 2724.6, 2734.4.
Support levels: 2714.8, 2705.1.
Short positions may be opened after a breakout of the support level of 8/8 Murrey or 2714.8 with the take-profit at 2705.1 and the stop-loss at 2724.6.
S&P500 index of the American stock exchange
|Support levels||2705.1, 2714.8, 2724.6, 2734.4|
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