April 17th US pre-market — Intense battle between bulls and bears, volatile trend continues, take profits before holiday

Affected by the hawkish policy stance of Federal Reserve Chairman Powell and the market panic triggered by the sharp drop in tech stocks, the three major U.S. stock indices showed a one-sided "low open and low close" trend on April 16, with market panic spreading.

Specifically, $Dow Jones Industrial Average(.DJI.US) closed down sharply by 699.57 points, a drop of 1.73%, at 39,669.39 points;

$NASDAQ Composite Index(.IXIC.US) plummeted by 516.01 points, a drop of 3.07%, closing at 16,307.16 points;

$S&P 500(.SPX.US) was not spared either, closing down 120.93 points, a drop of 2.24%, at 5,275.70 points. This decline not only continued the downward pressure brought by the "death cross" technical signal on April 16 but also significantly widened the drop compared to the previous day, with the Nasdaq's drop being particularly notable, fully reflecting the further intensification of market panic.

Looking back at recent U.S. stock trends, the market has shown obvious intraday volatility, frequently experiencing sharp rises and falls. However, from a daily perspective, since the continuous sharp drops on April 3, coupled with the super bullish candlestick on April 9, the overall trend has been in a stalemate. The recent fluctuation range has remained in the upper half of the bullish candlestick, showing fierce battles between bulls and bears at key levels.

Notably, despite last night's sharp drop, in after-hours index futures trading, all three major indices rebounded by more than 1%, and the Nasdaq and S&P 500 had already rebounded 2% from their lows, completing a preliminary 3% technical rebound. Just now, UnitedHealth's earnings report triggered another market quake, with the Dow Jones dropping 1,000 points instantly. However, from the overall daily trend, the index's position changed little, fully reflecting the current market's huge divergence and indicating that future trends will remain uncertain.

From a technical K-line pattern analysis, the indices faced downward pressure after touching the 20-day moving average and need fundamental support to gain breakout momentum, awaiting further news on tariff negotiations. Pay attention to the progress of U.S.-Japan and U.S.-Europe negotiations and whether China and the U.S. will start talks.

Today, try to close short-term positions and relax for the holiday. Three days are still worrying about Trump's mouth.