US indices on the decline - analysts expect decision on recovery

US indices on the decline - analysts expect decision on recovery

According to a report from stock3.com, the US indices continue to fall after a good start to the week. The question of whether a recovery will be possible before further monthly lows will be decided today.

The Dow Jones broke through the support at 33,605 points yesterday after already failing at the EMA50. The short-term situation has become even worse. To achieve another recovery, the bulls need to stabilize in the support area around the 61.8% Fibonacci retracement at 33,344 points today. If this succeeds, a recovery towards 33,605 points would be possible. If another large black daily candle follows, the index could crash to 32,847 points and, in the future, to 32,587 points.

The Nasdaq 100 has also fallen below a key support area by 14,900 points and has fallen towards the short-term uptrend line since September. The bulls no longer have any scope to bring about a recovery here. A countermovement could initially only go up to 14,900 points, with further resistance at around 15,000 points. If the index breaks the upward trend since September, it could head for the support area between 14,558 and 14,506 points, below which further lows would be likely.

The S&P 500 tried to reclaim the 4,325 point mark yesterday but failed. As a result, the index fell to the EMA200. Today the focus is on the EMA200, the defense of which will be the main task of the bulls. If this succeeds, there could be another attempt at recovery towards 4,325 points. However, if the index continues to fall straight away, the lower channel boundary combined with the low at 4,220 points would be the next target, followed by 4,195 points, the February high.

It remains to be seen how the US indices will develop and whether a recovery is possible. This development has implications for the market, consumers and the industry as a whole. A sustained downward move could lead to losses for investors and weaken confidence in the market. This could also have an impact on other industries as investors may hold back and act more cautiously.