On Thursday evening, Benzinga asked its followers on Twitter what they’re buying at the open on Friday. From the replies Benzinga selected one ticker for technical analysis.
@SnowsBurner, @NealEllis16 and @AndreasErnesto are buying the SPDR S&P 500.
The SPY gapped up 0.86 percent on Thursday but plunged intraday to close the session down 2.34 percent off the open. On Friday, the ETF gapped down slightly and continued to slide, falling over 1 percent lower by mid-morning.
Fundamentally, the SPY is suffering the consequences of geopolitical events, with the Russia–Ukraine crisis continuing to spook investors. Soaring inflation has also prompted the Federal Reserve to act aggressively by raising interest rates at a fast pace. On Thursday, Fed Chairman Jerome Powell said he will recommend the central bank hike interest rates by 50bps in May. In March, the Fed was more dovish, approving a rate hike of 25bps.
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