On Monday, American shares were geared up towards a weaker start, as traders turned hesitant to take the market higher right after the third straight weekly soar for equities.
Dow industrials futures sagged to 16.912, losing up to 55 points, while the S&P 500 traded at 1,986.50, -8.40 points. Nasdaq 100 futures found themselves at 4,300.75, -21.50 points.
On Friday, Wall Street shares ended their third straight week of revenues, with the Dow industrials and S&P reporting their highest level since January 6. That day, the S&P traded at 1,999.99.
Those advances were partially blocked from revenues for oil prices, which soared almost 10%. Oil proceeded with its ascending trajectory on Monday, notwithstanding equities couldn’t follow suit.
There’s still a strong temptation to go short after such a powerful leap, especially considering Friday’s close below 2,000 on the S&P 500. However, beneath the surface market participants still don’t seem confident enough about the longevity of this surge.
There’s an obvious lack of confidence. Nevertheless, not all the market participants are exposed to fear of missing out, so in general traders are ready to contribute to bullish sentiment once again.