Back above 50 day MA now...
The S&P index gapped lower from the low from Friday at 2335.74 on the back of the failed repeal/replace of Obamacare. The move lower also took the price below the 50 day MA 2331.84. That was the first time below the 50 day MA since Election time back in November.
The low for the day reached 2322.25, but the market has seen a rebound back higher as momentum lower faded. We are trading back above the 50 day MA, and the price has gotten close to filling the gap (the high reached 2334.59 vs the low on Friday at 2335.74). Markets like to fill gaps.
Overall, there is a chink in the stocks bullish armor, but it is hard to keep stocks down. Nevertheless, traders will be eyeing that 50 day MA as the day moves toward the close. A move below is more bearish, but a close below would be more significant and could/should lead to more selling.
