What is happening in the market?
Indices are recouping losses. By the evening Moscow time, the main indices had recouped part of the losses accumulated over the past week. Market participants described it as close to panic.
The move is broad, not confined to individual stocks.
Why did the market turn around?
The rebound has two drivers.
- Anthropic IPO. For the market, this is a signal that the window for large offerings in the technology sector is open. That means demand for risk in the AI story did not die after the sell-off. IPO - initial public offering of shares on an exchange. Anthropic - one of the largest developers of artificial intelligence models.
- Negotiations in Tehran. A reduction in geopolitical tension removes part of the risk premium from prices. The flow of money reverses from defensive assets back into stocks.
What does this mean for a trader?
There is no prolonged decline. The market has remained in a regime of sharp two-way moves.
- Speed. Rebound after a panic week most often happens quickly.
- Volumes. They are elevated, so entering and exiting on indices costs more than usual in slippage.
Key point: after a panic week, the cost of a mistake on indices is higher - you pay not only for direction, but also for slippage.
What happens next?
Confirmation is needed. Whether the indices hold the recouped levels in the coming sessions is a question for the next few days.
Next, they will watch for new details on the Anthropic offering and the outcome of the negotiations. You can check the dates of upcoming events in the economic calendar.
Were you watching this rebound from the sidelines?
After a week like that, people enter indices either with a micro lot or not at all. As a result, the entire rebound passes them by. But there is a second layer here: prop firms have their own limits on indices. A daily drawdown on the day of the rebound on elevated volumes is easily breached. That is why a program for indices is chosen by the rulebook, not by the account size in the ad. Look at which conditions actually match the way you trade the S&P 500 and Nasdaq.