US stocks extend losses as Brexit votes lifts uncertainty

Ani Salama FXStreet

US stocks extended sharp losses into a second session on Monday as economic and political uncertainty coming from the Brexit vote continues to weigh on equities around the globe. Investors remained wary this Monday, with financial shares suffering the most, particularly in Europe and the US.

The Dow Jones Industrial Average lost 260.51 points, or 1.5%, to close at 17,140.24. The index was down as much as 337 points at 17,055 at one stage. The S&P 500 dropped 36.87 points lower,or 1.81%, at 2,000.55. The Nasdaq Composite fell 113.54 points, or 2.41%, to close at 4,594.44.

DJIA technical perspective

“The daily chart for the DJIA shows that the indicators maintain their bearish slopes well below their mid-lines, whilst the index has broken below its 200 DMA for the first time since early March,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the technical indicators have lost their bearish strength, but are currently consolidating within extreme oversold readings, whilst the index is far below its moving averages, maintaining the risk towards the downside.”

Support levels: 17,055 16,980 16,922. Resistance levels: 17,162 17,241 17,310.

Author

Ani Salama

FXStreet

Ani Salama is an Economist specialized in financial markets and statistics analysis. In 2010, she joined FXstreet where she now contributes with the news section.

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