SPX targets 3000 points as long as it holds above 2900

Αλλαγή θέσεων
October 2, 2018
‘Μαζί με τα ξερά καίγονται και τα χλωρά’
October 3, 2018

Greetings everyone, we remain bullish SPX as price continues to make higher highs and higher lows.

Price behavior so far is supportive of the bullish trend as price breaks resistance levels, comes back for a back test at previous resistance levels and previous highs. Monday welcomed the NAFTA deal with a gap up but prices came back on Tuesday to close the gap.

Price pulled back towards 2920-2910 which was the level that we tested from below around 26-27 September. Price is also respecting the green upward sloping trend line. Resistance is at 2936. If SPX breaks above 2936 I would expect prices to continue towards next target level of 2975-3000.

There are bearish divergence signs (RSI) in the Daily weekly charts. This is an important warning. But only a warning. Not a reversal signal. Unless we see a clear break below 2865 I cannot say that an important top is in. Until then I consider pull backs as buying opportunities.

 

Thank you for taking the time to catch up on my thinking

Alexandros Yfantis
Alexandros Yfantis
Fascinated by financial markets, studied International Securities Investment and Banking in the UK, works as a Portfolio Manager in Greece and runs a technical analysis website. Enjoys travelling and spending time with his family and preparing for the black belt in Korean Karate.