Last Updated: March 15, 2025 at 2:11 p.m. ET
First Published: March 13, 2025 at 3:16 p.m. ET
The S&P 500 Index SPX continues to fall and has broken through all of the support levels that were in place. Most important, it has broken below the trading range that had been in place since last November. There is tentative support at this week’s lows, near 5,525. There also may be support at last September’s lows, at 5,400.
The U.S. market currently is quite oversold, but oversold does not mean “buy.” Rather, we are still waiting on confirmed buy signals, which for the most part have been evasive. Oversold rallies can be strong initially but generally fade out when they reach the declining 20-day moving average, which is currently at 5,900 and falling quickly. Still, that would suggest a 300-point rally once it gets underway.
