Can SP500 hold the bulls above 4,300?
Stock markets around the globe, including Europe and Wall Street, recovered and regained all their losses, as Kremlin announced Russian President Vladimir Putin is ready to send a delegation to Minsk for negotiations with Ukraine. It calmed the markets and investors and eased the market volatility index under 27, from yesterday's high above 33.20.
Generally, last night's US president press conference also helped the market positive sentiment as it ensured everyone that they are not going to be involved in the war. And today, the Kremlin Note helped this positive environment that this tension going to end faster.
But remember, despite all created positive sentiment, still, market risk is high. This overall fear, still putting the leading indices under pressure, especially with the background of the possibility of increasing strict policies by the FED.
The fans of tightening policies increasing, especially after yesterday's great economic data and today's PCE price index. According to the US Census Bureau published data, the US Durable Goods Orders and Core data, both were above markets estimates, while Personal income also increased by 2.1% in January. Today we also had great increasing numbers in Goods orders and Durable goods orders, on the other hand, Pending Home Sales in January fell sharply by -5.7%.
From the technical point of view, SP500 is back again above 4,300, which is a psychological level. Bulls will be encouraged above this level. However, we have to see the bulls above the 200 MA line in the H4 chart, to confirm the bullish trend, that currently sitting at 4.470.
