Long Term Interest Rates continue to plunge today, with the 10 Year now down to 2.21 %. Line Break Chart shows current chart support at 2.07, and much more importantly at the 2 % threshold.
The continued and surprisingly sharp move down in interest rates, is now having a direct impact on the stock market, as investors big, and small are selling stocks, and buying bonds in a risk off trade.
The Dow Industrial Average has now broken thru it's 200 Day Moving Average keeping in mind the DOW never made a new all time high in 2019, a bearish divergence I have noted while today, the S+P 500 has broken thru 2800 Major Chart Support and is now trading below its 200 Day Moving Average.
Once again, just like what started in late 2018, investors are suddenly wanting to get out of the market immediately with price breakdown apparent, and prior market complacency now being replaced by real concern, and the beginnings of fear.
Often market bottoms can be made with a set up like this, but with still many traders looking for and expecting.. a short term bottom and upside reversal any time downside risk at this point, is still very unknown.
Important Support Held Late Today.
Big Money came in to Buy.
I am flat, Watching for a potential upside reversal.
VIX rally levels diverging from previous highs
A break below today's lows however would be extremely bearish,
Always great to hear from you.
Best of Luck !
LucyF2492
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@The_Unwind, i got in early enough to wait and see so that is what i will do! Best of luck to you too, Unwind :)
David_Scott
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100% agree. Great call. You never wavered! Very impressive.