Wall Street Report & Analysis Ahead Of Wednesday Trading: Will The Negative Momentum Continue?

Two days ago, on Monday, the Wall Street indices started the week high and lost momentum throughout the day, closing near their daily lowest. The weakness had continued to yesterday’s trading (Tuesday). The S&P got rejected upon testing the tough resistance at 2800 – 2820.

The market began by declines of 0.2 – 0.5 %; however, it didn’t take long for the market to recover, which showed that there is still not much selling pressure around. Throughout the day, the indices even moved to the positive territory up to +0.2%. But during the last half hour of trading, the sellers turned the indices back to the red side.

Closing remarks

S&P dropped 0.08% to 2794, trading in a very tight range today 2790-2803. Support at 2780, 2760, 2740. Resistance lies at 2800-2820 and 2860.

DOW lost 0.13% to 26058, support at the 26000 level still hold, while resistance lies at 26150. Support levels: 26000, 25500, 25100. Resistance levels: 26250 – 26300 and the all-time high.

NASDAQ lost 0.07% to 7549, whereas the daily support lies at 7535 and the daily resistance lies at 7570. Support levels: 7465 – 7500, 7400, 7200. Resistance levels: 7570, 7670, 7750.

The sellers managed to push the market lower, however then the buyers came to keep the prices up. However, the bearish sellers seem to be with their hands on. The trading volume of the sellers’ candles are much higher than the buyers’.

Following two green months, the Russell 2000 index made a reversal upon the 200-days moving average line. The Russell 2000 usually tends to predict the next market’s direction. To sum it up, caution is required from one side, but, facts are that the leading stocks are back in business with decent gains over the past weeks.

Significant Gainers and Losers

GREEN: DDS +19.8%, SERV +16.5%, ESTY +16.3%, AERI +14.8%, THC +11.2%, TFCH +10.8%, MNK +10.2%, and unstoppable MRNA + 9.5% % (was even +18% intraday), WP +8.2%, IMMU +7%, CRON +6.9% following Monday’s crash.

After-hours trade: TNDM is rising by almost 20% following fabulous reports with great results, better than expected.

RED: CDEV -22.6%, MEDP -22%, RLGY -20.7%, MDB declined 8.9%, ETRN -7.6%