NYSE traders discussing stock data and market trends at the New York Stock Exchange.

Dow +567 after wild intra-day swings

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After an historical 1,175 tumble on Monday, the Dow rebounded today, closing 567.02 points higher. It wasn’t pretty as at its session low the Dow was down by 567.01 points. From the session low to session high, we saw a range of 1,167.49. The Dow ended the day up 2.33%

Dow Jones Industrial Average trend chart showing significant growth, recent decline, and market volatility as of February 2018.

The S&P 500 was a similar story, trading up 46.20 pts or 1.74%

SPX stock market chart showing volatility and recent decline, February 2018, related to financial trend analysis, stock market performance, and investment insights.

After the huge 115% spike in volatility on Monday to a “fearful” reading, sentiment dropped down to just below 30, which suggests investors are still nervous.

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Even the extremely oversold Canadian TSX saw a slight reprieve.

15363.93, stock market trend, and financial analysis, 2-hour chart of TSX Composite Index showing recent market decline and recovery, ideal for investment insights and market trend analysis, stock index movements.

Earlier in the day, China reacted to the previous day’s record tumble in North America, with the Shanghai Index closing down 3.35%.

SSEC Shanghai Stock Exchange Composite Index trend analysis February 2018, stock market performance chart, investment insights, market fluctuations, historical index data for financial planning.

The German market followed China, reacting to the previous North American record low on Monday, with the DAX Index closing 2.32% lower.

DAX German DAX Composite stock market chart showing fluctuations from February 2017 to February 2018, with notable rise and decline trends, highlighting key market performance points and volatility in the German stock market.

The US dollar continued to gain strength.

USD Dollar Index chart showing decline trend from March 2017 to February 2018, indicating decreasing value over time.

With US stocks rising, capital moved out of bonds, pushing the yield of the 10-year bond up slightly.

$UST10Y 10-Year US Treasury Yield chart showing upward trend and recent peak in February 2018, highlighting changes in bond yields, economic indicators, and financial market fluctuations.

With the US dollar rising, gold pulled back $7.00 to close the session at $1329.50.

$GOLD daily price fluctuation chart showing trends in gold prices from March 2017 to February 2018, highlighting key peaks and dips.

As highlighted a number of times in The Trend Letter, early/mid March is a targeted ‘trend turning point”, meaning it is a key timing window which could be the high, setting off a significant pull back or correction; or it could be a key low, setting up a good buying opportunity. As we have seen over the past few days, overreacting to a single day’s big move could have you heading in the wrong direction.

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Stay tuned!