SPX is trading at all time highs above 4100 price level. Trend remains bullish since the bottom from last March of 2020 as price is making higher highs and higher lows. Today we focus both on the short-term and long-term view of SPX to see which price levels are important and could affect longer-term trend.
Using the Ichimoku cloud indicator in the short-term 4 hour chart we see prices turning lower. Price today closed below the tenkan-sen (red line indicator) and this implies that a move at least towards the kijun-sen (yellow line indicator) is imminent. Support by the kijun-sen is at 4108 when price closed today at 4124. If the 4 hour candle breaks below 4108-4100 we should expect the index to continue lower towards the Ichimoku cloud (Kumo) around 4060-4050. This could be a great short-term trading opportunity.
Red lines -wedge pattern
On a weekly basis there is no sign of reversal for SPX. Price is still inside the wedge pattern and traders need to keep an eye on the lower wedge boundary at 3960 price level. As long as this price level remains intact, bulls remain in control of the trend. So the short-term pull back we expect will only develop into a bigger correction if price breaks below 4000-3960 price level.
The material has been provided by InstaForex Company – www.instaforex.com
🚀If you want to get a Forex Robot Coded as per your trading strategy but are unable to do so because of the high price for the Robot then you can take advantage of the CROWD FUNDING campaigns feature. ✔ These are some crowd funding campaigns for Forex Robots, which when completed can provide the very same Forex Robot to the participants at an average price of $5-$10 per participant. ✔ You either participate in one of the already listed campaigns or send us your Forex strategy : Submit Crowd Funding Campaign , for which you would like the Forex Robot to be coded. A Crowd Funding Campaign would then be started for the same . ✔ All you have to do later on is to share the campaign online with your friends to encourage more people to participate in the campaign.
As a result, each participant can get that Forex robot for just a campaign contribution of $5 (which is the minimum). Participants can back the campaign by anything above or equal to $5 to reach the funding goal to close the campaign.