S&P 500 Closes Back Below 50-Day Moving Average

The market closed lower on Friday, notching a third-straight weekly loss excluding the small-caps, amid uncertainty about a fresh round of fiscal stimulus from Washington. Weaker-than-expected economic news and concerns about tensions between the U.S. and China also weighed on sentiment.

The choppy trading action also marked quadruple witching and happens on the third Friday of every March, June, September and December. Volatility tends to heighten and when four classes of option contracts expire. The losses pushed the major indexes back into prior trading ranges with current volatility actually closing lower for the session.

The S&P 500 settled at 3,319 (-1.1%) after testing a late day low of 3,292 on the close back below its 50-day moving average. Prior and upper support at 3,325-3,300 was breached and failed to hold. A close below the latter would suggest additional weakness towards 3,275-3,250.

The Nasdaq finished at 10,793 (-1.1%) following the afternoon fade to 10,639. Prior and upper support at 10,700-10,600 was breached but held. A drop below the latter would signal a further pullback towards 10,500-10,400 and levels from late July.

The Dow traded to an intraday low of 27,487 before ending at 27,657 (-0.9%). Prior and upper support at 27,500-27,250 was breached but held. A move below the latter and the 50-day moving average would indicate a further pullback towards 27,000-26,750.

The Russell 2000 showed strength on the open before tapping a low of 1,519 while finishing at 1,536 (-0.4%). Prior and upper support at 1,525-1,510 and the 50-day moving average was tripped but held. A close below the latter would reopen a further backtest towards 1,500-1,485.

For the week, the S&P 500 fell 0.7% and the Nasdaq was lower by 0.6%. The Dow slipped 8 points, or 0.03% while the Russell 2000 rallied 2.7%.

How To Grow A Small Account Into A
LARGE Account In LESS Than 6 Months

I’ve developed a SYSTEM that is Easy to Use & PROFIT from where you can
Turn Your Losing Trades Into  WINNING TRADES!

 I will show you how to potentially
DOUBLE or TRIPLE Your GAINS!

It’s helped thousands of my students
Make $10,000, $100,000…
Even $1 MILLION
in some rare cases.

Watch My Short VIDEO
LIFETIME Access to my Options BLUEPRINT for just $7SAVE $490!

ANALYST UPGRADES/DOWNGRADES

Dave & Buster's (PLAY) upgraded to Outperform from Market Perform at Raymond James
Foot Locker (FL) upgraded to Buy from Hold at Argus
SunPower (SPWR) upgraded to Equal Weight from Underweight at Morgan Stanley

Beyond Meat (BYND) downgraded to Underweight from Neutral at JPMorgan
Mirati Therapeutics (MRTX) downgraded to Neutral from Buy at Citi
Novocure (NVCR) downgraded to Equal Weight from Overweight at Wells Fargo

MONDAY'S EARNINGS ANNOUNCEMENTS

Before the open:  Pintec Technology Holdings (PT)

After the close: Qutoutiao (QTT)


MONDAY'S ECONOMIC NEWS
Chicago Fed National Activity Index - 8:30am

METALS/ OIL
Gold closed at $1,962.10 an ounce, up $12.20
Silver settled at $27.13 an ounce, up $0.03
Copper finished at $3.12 a pound, up  $0.05
Crude Oil was at $40.98 a barrel, down  $0.06

Bitcoin Investment Trust (GBTC) ended at $11.74, down  $0.19


I hope this helps you prepare for the trading day. Make it a great one!


   Todd Mitchell


Not sure the best way to get started?

Follow these 3 simple steps ...

Step #1: Get These FREE Reports & Videos

Options INCOME  Profits   8 Video  Series    Habits that Kill Traders...



Step #2: Enroll in an Advisory or Educational Program
Premium Advisories | Featured  Educational  Programs 



Step #3: Connect with The Community
Trading Concepts Official Facebook Page