Can The S&P 500 (SPY) And The Russell 2000 (IWM) Hold Their Support?

3 of the 4 major indices closed negative on the day.

The Russell 2000 index (IWM) closed at $230.44 yesterday.

This places it right on new support from February highs.

If IWM cannot hold $230 we could see a return to its choppy price area between $218 and $230.

Additionally, the S&P 500 (SPY) is close to its support area from February highs at $394.

Like IWM, it will need to hold this support level, or it risks falling back into a high volatility area.

On the other hand, both the Nasdaq 100 (QQQ) and the Dow Jones (DIA) are playing their own games, with the QQQs flirting with the 50-Day moving average at $320 and the DIA consolidating near highs.

This shows the division in the indices which can lead to indecisive/choppy price action.

All in all, with the major indices sitting on pivotal price levels and the FOMC (Federal Open Market Committee) meeting Wednesday, waiting for a congruent move up in the indices might be the best plan for the moment.

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