Futures Market Selling Trumps Address S&P 500 FUTURES (CONTINUOUS: CURRENT CONTRACT IN FRONT) CME:SP1! CW_Trades #spx #sp500 #sp1! – Following President Trumps Oval Office address, traders immediately began selling futures markets with the S&P 500 now down -4% and breaking below daily support at the 61.8% Fibonacci level. This level was pointed out in the previous chart and with the move below it tonight the S&P 500 is officially in a bear market having lost more than -20% from the all-time high seen in February. Traders wanted clarity and reassurance and instead received more reasons to be fearful with lack of a solid plan presented by the administration. No information was provided as to how the payroll tax suspension will be paid for($1.7 trillion) or when we can expect it to even be passed. Traders are also still left with wondering how the overall spread of the virus, which is not being contained, will affect company earnings going forward if infected numbers rise and people stop attending public events and reduce their spending habits. The news regarding the travel suspension from Europe only gives traders more reason to sell now that airlines, hotels and other travel/hospitality stocks are likely to see further weakness due to lower tourism numbers. While this will prevent new cases from entering the U.S., it does nothing to stop the spread already taking place which is occurring at an exponential growth rate. We are at 1,000 cases as of today, and with a doubling of infections occurring every three days it indicates we will likely see 16,000 cases in two weeks’ time. Exponential Growth Visualized: With more selling expected, the next lower level to watch for potential price support is the 78.6% Fibonacci retracement level near $2,550, or a little over -6% lower from today's spot market close. This indicates that we could potentially see stock market circuit breakers triggered again at the open tomorrow for the second time this week. -7% is needed for all trading to be halted for 15 minutes and we are already at -4% ahead of the market open.