US major indices lower but bounces in early trading | Forexlive

The major US indices opened lower but are seeing modest buying at the start of trading. Nevertheless, the indices are still negative on the day as the follow through from the post FOMC rate hike trading continues.

A snapshot of the major indices 14 minutes into the opening is showing:

Dow industrial average -135.75 points or -0.42% at 32012.02
S&P index -31.93 points or -0.85% at 3727.75
NASDAQ index -113.99 points or -1.08% at 10410.80
Russell 2000-20.25 points or -1.12% at 1768.88

Yesterday the S&P index initially after the rate decision move back up to retest the 100 day moving average currently at 3897.44, but found willing sellers against that level. The Fed chairman’s comments during his press conference sent the price sharply to the downside.

The move took the price away from its 100 day moving average and back below the 38.2% retracement of the move down from the August high. That level comes in at 3810.05. The price is moving back down toward the broken trend line near 3686.00.

Technically, the inability to get and stay above the 100 day moving average and 50% midpoint of the last trend/most recent move to the downside, keeps the sellers/bears more in control.

Ultimately it would take a move back above that MA/retracement level from a longer term prospective to give the buyers more comfort and more control. Until then, the technical bias remains firmly in the hands of the sellers.

Yields remain higher on the day: