With the S&P 500 SPX, +0.28% diving 3.0% in midday trading Monday toward the biggest one-day selloff in 15 months, more than half of the index’s components are trading in downtrend territory under some charting metrics, while nearly a third have fallen enough more than 20% from recent peaks. Currently 312, or 62%, of the S&P 500 are trading below their 200-day moving average (DMA), which many on Wall Street view as a dividing line between longer-term uptrends and downtrends, according to FactSet data. That’s the highest percentage of S&P 500 stock’s below their 200-DMA since July 2020, according to Dow Jones Market Data. In addition, there are 185 stocks, or 37%, in which the 50-DMA — a shorter-term trend tracker — is trading below the 200-day moving average, which many feel suggests a longer-term technical downtrend is in place. Also, 184 stocks, or 36%, are trading more than 20% below their 52-week highs, which for FactSet is the highest intraday trading price seen in the past 12 months. Meanwhile, the S&P 500 is 3.7% below its 200-day moving average; the 50-DMA is at 4,658.30, or still well above its 20-DMA at 4,429.92; and the index is about 11.5% below its 52-week high.
