European indices and US futures are recovering after yesterday's testimony from Powell
Fed Chair Powell said that interest rates will remain low until full employment is reached. In previous years' conditions of full employment were met when the unemployment rate stayed below 4%. Now it sits above 6%. Moreover, Powell highlighted that temporary inflation pick-ups are not a problem and the economy is still far from reaching Fed's goals. Speech from Powell provided support for equity bulls and started a turnaround on Wall Street.
US500 broke above key resistance at 23.6% retracement and slowly approaches the 3,900 pts area. Additionally, an inverse head and shoulders pattern may be building up with yesterday's dip marking head of the pattern. Source: xStation5
