S&P 500 sinks below 50-day moving average, raising possibility of first close below that trend line since June

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S&P 500 sinks below 50-day moving average, raising possibility of first close below that trend line since June
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S&P 500 perilously close to a breach below its 50-day moving average as stock market slumps Friday

The broad-market S&P 500 index late-morning Friday was trading below its short-term moving average, which would put the benchmark on pace to end below that trend line for the first time since around mid June. The S&P 500 index SPX, -0.85%, at last check, was down 0.8% on Friday at 4,436 and had hit a low of 4,435.54, with its 50-day moving average at 4,436.67, FactSet data show.

Many technicial analysts see the 50-day MA as a guide to the short- to intermediate-term trend, so a close below the line could portend further weakness. Friday's drop for the S&P 500 index helped to erase its weekly gain and also put those for the Dow Jones Industrial Average DJIA, -0.64% and the Nasdaq Composite Index COMP, -1.02% in negative territory.

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