On 10th Sept, we published an analysis with neutral sentiments on SP500 but in the bullish and bearish conditions/ possibilities, keeping the technicals in regard : we were keeping exponential moving average 50 in regards at 4441 for SP500 to make a bearish retrace and then as we a get a hawkish closing above the aforementioned level in four hourly time frame - this would be our confirmation to execute our buying entries. Secondly on a short and temporary note if SP500 broke below 4491 - this would lead the indice towards 4441 and further a bearish impulsive closing would target 4372. Now from the current market price we can see that its hovering at 4416 and standing above our exponential moving average 50 in the daily time frame which might indicate that there are more chances of hawkish projections from here as it did multiple times in the past. 

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES :

News are mixed, but the US investors prefer making the most of it. The S&P500 closed Wednesday’s session 0.85% higher; that was the biggest jump since August, meaning that the 50-dma magic operated and gave another good support to the equity bulls. The Japanese exports slowed more than expected in August, the GDP growth in New Zealand beat expectations with a 2.8% print in the latest quarter versus 1.1% expected by analysts, and the jobless rate in Australia fell from 5% to 4.5%. But that number could hide a more serious headache, as people are not necessarily ready to take any job. High job vacancies seem to be the new post-pandemic norm for the developed economies. if SP500 consolidated above the current market price, this can be the continuation of bullish trend to create higher highs on the intraday timeframes but there can be chances of a minor bearish impulse for correction of higher degree in the four hourly time frame before moving any higher. The bearish impulsive correction of higher degree should be expected to finish at 4370 which carries enough liquidity and supply demand to hike the prices again. 

SP500

farhan fazal

Sep 19 2021