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The 3 Charts That Matter Most Right Now

Look beyond the S&P 500 Index for the best clues

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This is a tough week to be a trader.

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The S&P 500 is about 5.5% off its high, which is sure to give an itchy trigger finger to those trained to buy the dip after a multiyear bull market. On the other hand, this selloff has led to more severe technical damage on the charts than we’ve seen in past downturns, with the S&P 500 breaking its lower trendline and the Dow Jones Industrial Average violating its 200-day moving average.

So what’s next? The key levels that traders are watching on the S&P 500 are support at 1730 and the 200-day moving average at 1707. However, with the S&P 500 at 1750 as of this writing, that leaves room for more damage before the next alarm bell sounds.

Traders might therefore be well served by adding three indicators beyond U.S. large caps:

Article printed from InvestorPlace Media,

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