Seems to be like a ‘double high’ within the S&P 500, investor Mark Mobius warns
Mark Mobius, govt chairman of Templeton Rising Markets Group, speaks through the Skybridge Alternate options (SALT) convention in Las Vegas, Nevada, U.S., on Wednesday, Might 17, 2017.
Paul Morris | Bloomberg by way of Getty Pictures
The S&P 500 is forming a “double high” going into the U.S. election, which is a worrying signal for traders, based on veteran investor Mark Mobius.
A double high is a bearish technical indicator, the place an asset’s worth hits two consecutive highs with solely a reasonable decline between the 2 peaks. If the value then falls under the help degree reached through the intermittent low, a double high is confirmed.
The S&P notched a report excessive to shut above 3,580 factors on September 2, capping a restoration for fairness markets following the crash in March, when the coronavirus pandemic started to unfold all through the U.S. and Europe.
Having then endured a sharp decline fueled by a sell-off of the tech megastocks which drove the restoration, the S&P 500 climbed again to three,534…