US stocks fall sharply into the closing bell

By FXStreet FXStreet (Córdoba) – US index reversed course on Monday, accelerating right before Wall Street’s closing bell as WTI crude futures breached $30.00 a barrel.

All of the US three indexes closed deep in the red and near their daily lows. Energy and material equities led the way lower while financials also fell sharply.

The Dow Jones Industrial Average lost 208 points, or 1.29%, to end at 15,885.22. The S&P dropped 29.83 points, or 1.56%, to 1,877.07. The Nasdaq plummeted 72 points, or 1.58%, to 4,518.49.

DJIA technical view

“The daily chart for the DJIA shows that the index practically erased all of its Friday’s gains, while the Momentum indicator has lost upward strength and turned flat below the 100 level, while the RSI indicator turned south around 33, suggesting the index will continue falling”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the index has crossed below a bullish 20 SMA, the Momentum indicator heads sharply lower after crossing its 100 level, while the RSI indicator also heads south, around 44, in line with the longer term outlook”.

Support levels: 15,832 15,767 15,683. Resistance levels: 15,966 16,048 16,122.
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Source:: FX Street