- Ned Davis Research’s Tim Hayes warns that several technical indicators are breaking down and there could be more losses ahead.
- Stocks posted losses on Tuesday as weak manufacturing data rocked the market
- The S&P 500 broke through the 50-day moving average on the first day of the quarter, and losses accelerated Wednesday morning.
Technical analysts are warning that there could be more downside after the fourth quarter got off to a rocky start as recession fears hit stocks.
Stocks opened Wednesday’s trading day in the red, accelerating Tuesday’s sharp losses, when the Dow fell 344 points and the S&P 500 broke below its 50-day moving average — a key technical indicator. That decline came after manufacturing data hit its lowest level in a decade.