Broader stock indices dodging a bearish bullet?

The broader stock indices are looking to dodge a big bearish technical bullet today.

The catalyst for the reversal back to the upside came after Fed's Bostic showed some tightening restraint in his comments. That has helped to bring a bid to the risk assets. In addition, the 10 year yield is also coming off its boil, although it still remains above 4.0% at 4.059%

Technically, earlier today, the S&P broke below its 200 day moving average Moving average A moving average is a statistical tool that is used to smooth out short-term fluctuations in data and reveal longer-term trends. It is calculated by taking the average of a certain number of data points over a specific period of time, and then plotting that average as a line on a chart. The most common types of moving averages are simple moving averages (SMA) and exponential moving averages (EMA).In financial markets, moving averages are often used to analyze stock prices, exchange rates, and ot A moving average is a statistical tool that is used to smooth out short-term fluctuations in data and reveal longer-term trends. It is calculated by taking the average of a certain number of data points over a specific period of time, and then plotting that average as a line on a chart. The most common types of moving averages are simple moving averages (SMA) and exponential moving averages (EMA).In financial markets, moving averages are often used to analyze stock prices, exchange rates, and ot Read this Term at 3940.05 and moved closer to its rising 100 day moving average at 3923.29. The low price for the day reached 3928.16.

However the Bostic comments has the index trading back into positive territory at 3970.57. That's up 19.12 points or 0.49% and takes a price back above the 200 day moving average. The 50% midpoint of the range since the December low comes in at 3979.54 and is the next upside target. Moving above that level, would be a further tilt to the upside for the S&P index.

For the NASDAQ NASDAQ The Nasdaq Stock Market or NASDAQ is an American stock exchange. It trails only the New York Stock Exchange (NYSE) in market capitalization and is part of a network of stock markets and options exchanges.Launched back in 1971, NASDAQ is the acronym for the National Association of Securities Dealers Automated Quotations. Since then it is known simply as NASDAQ and has become one of the most influential exchanges worldwide.The NASDAQ was the world’s first electronic stock market, and has since ass The Nasdaq Stock Market or NASDAQ is an American stock exchange. It trails only the New York Stock Exchange (NYSE) in market capitalization and is part of a network of stock markets and options exchanges.Launched back in 1971, NASDAQ is the acronym for the National Association of Securities Dealers Automated Quotations. Since then it is known simply as NASDAQ and has become one of the most influential exchanges worldwide.The NASDAQ was the world’s first electronic stock market, and has since ass Read this Term index, looking at the daily chart below the price closed below its 200 day moving average yesterday and continued the run to the downside today. The low-price today approach the 50% midpoint of the move up from the December low at 11238.51. The low price for the day reach 11273.61.

Bostic's comments have pushed the price back above its 200 day moving average at 11403.56. The current price is trading at 11420.30 up 40.7 points or 0.36%.

So both the S&P and the NASDAQ index on the verge of dodging the bearish bullets from a technical perspective. Traders will be monitoring the price action to see if that momentum can continue into the close.