Markets face a crucial week after last week’s pullback, testing key technical support levels. The S&P 500 and Nasdaq held their 50-day moving averages but still lost ground. The government shutdown adds uncertainty, but critical data like Thursday’s CPI will provide insights into inflation trends. This week’s earnings include Disney on Thursday and Cisco on Wednesday. The market rally hinges on whether the 50-day lines hold or break, potentially signaling a more serious correction. The convergence of technical support tests with inflation data could bring significant volatility to the market this week. Treasury auctions will test investor appetite for longer-term securities amid economic shifts and Fed uncertainty.

Read more at Barchart: Technical Support Levels, CPI and Other Key Things to Watch this Week