Inverse ETF Is Purchased at a Record Level

Latest data from EPFR that traces the trading trend of funds suggests that in the week from March 26th to April 1st,net purchase of inverse ETF totaled an unprecedented US$6.04 billion, which shows that investors remain mostly bearish about the market, despite US stock markets recent rally.

Previously, the highest level of ETF purchase within a week was US$1.57 billion, which was made in the last week of January, 2018.

Technically, the rallying Dow Jones Index of US stock market is close to a key resistance level of 23769 at 50% of the descending line from February 12th to March 22nd.

The Feds policy meeting minutes released on Wednesday showed that the central bank officials are worried over the impact of coronavirus on economy. Meeting participants all agreed that US economic outlook has fast deteriorated in the past weeks, facing with great uncertainties.

Dow Jones Index daily pivot points: 22940---23240

S1: 22668 R1: 23813

S2: 21945 R2: 24235