{"id":104917,"date":"2017-04-17T08:37:56","date_gmt":"2017-04-17T12:37:56","guid":{"rendered":"http:\/\/countingpips.com\/?p=104917"},"modified":"2017-04-17T08:37:56","modified_gmt":"2017-04-17T12:37:56","slug":"sp500-technical-analysis-us-warships-reached-the-korean-peninsula","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/04\/sp500-technical-analysis-us-warships-reached-the-korean-peninsula\/","title":{"rendered":"SP500: Technical Analysis – US warships reached the Korean Peninsula"},"content":{"rendered":"
April 17, 2017<\/div>
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By IFCMarkets<\/a><\/p>\n

US warships reached the Korean Peninsula<\/strong><\/p>\n

On Friday, the US stock exchanges did not work due to the Easter holiday. On Thursday, the US stock indices dropped on the background of the escalated political situation in the South-East Asia. Will the S&P 500<\/a> decline?<\/p>\n

Market participants are concerned that North Korea may conduct next nuclear weapon tests on Saturday, April 15, 2017, in honor of the 105th birth anniversary of Kim Il Sung. The strike group of the US Navy as a part of the nuclear-powered aircraft carrier Carl Vinson, the guided-missile cruiser USS Lake Champlain and destroyers arrived at the shores of the Korean Peninsula. Previously, the US reported that it might launch a pre-emptive strike against North Korea in case of nuclear tests. An additional negative for the S&P 500 may be the reduction of US banks\u2019 profits from mortgage lending according to the results of Q1, 2017. Since the beginning of the year, the S&P 500 banks dropped by 3.2%, while the overall S&P 500 rose by 4%. On Friday, weak economic data were published in the US. Retail sales, decreased for the 2nd month in a row in March, 2017. Inflation rate dropped, which may slightly decrease the Fed\u2019s willingness to raise the rate as soon as possible.<\/p>\n

\"SP500\"<\/p>\n

On the daily timeframe, SP500: D1<\/b> has approached the bottom line of the descending channel and the 1st line of Fibonacci Fan. In order to open a sell position, a downward movement has to accelerate at first. The further decrease of the index is possible in case of the escalated political situation around North Korea, as well as in case of the publication of weak economic data and corporate earnings in the US.<\/p>\n