US Equity Funds See $32 Billion Outflow

SPX fell 1.58% in the last 24 hours to 7,592, with RSI at 29.8 approaching oversold territory. MACD is negative and below the signal line, indicating weak short-term momentum. The $32 billion fund outflow in the news could dampen risk appetite and increase selling pressure. However, oversold conditions may trigger bargain hunting; therefore, despite the bearish expectation, confidence was kept at a moderate level. Downside risk may persist in the 1-3 day horizon, and the 7,550-7,500 support zone should be monitored.

QQQ closed at 708.66, down 1.24% over the past 24 hours, with its RSI at 32, approaching oversold territory. The MACD is below its signal line and negative, and the price is trading below its 20- and 50-day moving averages, indicating a weak short-term outlook. The reported $32 billion fund outflow signals that selling pressure may continue. However, the low RSI level increases the likelihood of a rebound, so despite the bearish bias, I am keeping confidence limited at 0.6. A volatile and downward trend can be expected in the short term.