From Nasdaq:

2024 equity markets have been favorable to bulls, but a pullback may be looming. The strong rally of the S&P 500 Index without hitting the 10-week moving average is noteworthy. Factors contributing to a potential pullback include the struggles at the 4.326 Fib extension and the upcoming Reddit IPO.

The Reddit IPO, with the ticker symbol RDDT, is anticipated soon, potentially adding to market frothiness. “Quad witching,” the expiration of four financial derivatives contracts, is occurring, leading to increased market volatility. Additionally, NAAIM signals high bullish exposure, potentially signaling a pullback in U.S. equities.

Seasonal volatility in March and the conclusion of earnings season suggest a possible multi-week pullback. NAAIM’s highest bull reading in two years raises caution, as active managers may have already allocated significant stock portions. Investors should remain cautious yet flexible amid potential market shifts.



Read more at Nasdaq: U.S. Equities: Does a Pullback Loom?