On 28th Sept we observed that the SP500 market found strong support near 61.8% and 50% fibo retracement level at 4352 and 4292, proceeded by a bullish reversal in "W" shaped structure being formed in the four hourly chart which generated enough hawkish momentum to push SP500 above the 61.8% and 4352 region again. SP500 also got boosted enough to fly above the Senkou Span A and Senkou Span B of the ichimoku cloud in the four hourly time frame while floating inside the ichimoku cloud in the daily time frame near Senkou Span A. However, the hawkish momentum is being limited by the exponential moving average 50 in the daily time frame and exponential moving average 200 on the four hour chart - which might snatch away the gains from SP500 by driving the indice down towards 61.8% and 50% fibo retracement levels again. 

BULLISH AND BEARISH CONDITIONS/ POSSIBILITIES :

S&P500 Technical Analysis: 4500 is the next minor level of resistance, once that becomes the support then 4800 is the next level. US Holidays is creating low volumes since Friday session, however the SP500 has maintained support on 4530 Sub-Group1. Focusing on the exit taken by SP500 from the upper trend line in the daily time frame, indicates that the indice will flirt with 4500 level again but for that we require a fractal confirmation above the 4450 region - that would open the gates to set record highs. On the bearish side, we know that SP500 has completed its bearish correction of higher degree on the intraday and interday time frames and is not looking for support of fundamentals to be pushed higher, yet a fall below 50% fibo retracement level and 4279 - would indicate a strong fall towards the exponential moving average 200 on the daily chart as its next destination. 

SP500

Oct 08 2021