Wall Street stabilizes, anyway ending the day in the red

• Market sentiment improved by London's close and remained stable during the US session.
• US indexes hovered between gains and losses but were unable to retain intraday gains.

US indexes hovered between gains and losses for most of the session, with volatility back to normal after the wild swings from the previous days. The Dow Jones Industrial Average trimmed gains ahead of the close and settled at 23,848.42, losing 9 points. The Nasdaq Composite lost 59 points and ended at 6,949.23 while the S&P closed at 2,605.00 after losing 7 points.

Risk aversion seen on Tuesday extended during the first half of the day, but eased mid-European session, to cool down further after Wall Street's opening, amid a revised 14 GDP growth, closer to 3.0%.

Dollar gains across the FX board seem to have no actual base, as, despite the positive GDP revision, housing data again disappointed big, with Pending Home Sales plummeting 4.4% yearly basis in February, and the US Goods Trade Balance for the same month presenting a larger-than-expected deficit of $75.35B. More likely, the greenback benefited from profit-taking ahead of the long Easter weekend.

Technical Outlook

Technically, the daily chart shows that the Dow held a few points above a bullish 20 DMA, while the 20 DMA accelerated its decline above the current level, maintaining the upside limited. Technical indicators in the mentioned chart hold near oversold readings, with the Momentum lacking clear directional strength and the RSI gaining downward traction, currently around 39. In the shorter term, and according to the 4 hours chart, the index presents a neutral to bearish stance, as a horizontal 20 SMA capped the upside all through the day, while technical indicators turned flat, the Momentum around its 100 level and the RSI at 40.