Chart of the Day - Friday, August 19th, 2022

Today’s Chart of the Day was shared by Yuiry Matso (" xlink="href" data-cke-saved-href="http://

" rel="noopener">@yuriymatso). The S&P 500 flirted with its 200-day moving average this week, but it was swiftly rejected. As we mentioned on Tuesday, there were several different reasons why this was a logical level to see some pause. This little 2% pullback is perfectly normal considering we surged 17% in just two months. However, the S&P 500 needs to hold above the June highs around 4200. A break below the June highs would constitute a failed breakout or bull trap as Yuriy calls it. You know what they say about failed breakouts..."from failed moves come fast moves in the opposite direction." Keep an eye on how price behaves around that level next week!