With just two trading sessions left in 2022, cautious action continued to dominate Wall Street on Wednesday, the major averages all fell more than 1%.
As investors have worried about the Federal Reserve's hawkish projections and the threat that the central bank might be forced to continue to hike interest rate into the face of a slowing economy. This momentum has carried over into the final week of the year, which will likely continue to be marked by low volume and limited catalysts.
All three indices break down, as mentioned yesterday “grandma shooter looks bored and untradable for SPX ”, right now, even grandma shooter breaks down.
On daily chart, SPX possibly will hit 3920ish, QQQ will retest October lows, DIA is heading to 320ish.
In short, hopes for a year-end "Santa Claus Rally" have largely faded and offically ended.
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