S&P500 Medium-Term Update |
S&P500: 1131.81
Medium-Term Trend: downtrend
Outlook: A month ago I said the weekly trend had already turned lower and I expected the prices to remain under pressure. Well, the S&P500 index held well for most of September but then fell sharply in the last few sessions. The weekly chart remains very bearish and as long as the prices stay below 1250/60, the main focus should remain on the downside. I even expect that the 1200 level will remain intact and very soon and the market will break to new lows – actually that is only a 30-point move on the downside. A decline twd 1060 seems inevitable at this point but I also think that further weakness twd 984 may be seen before a more meaningful rally develops. Going forward my target is well below 950.
Strategy: I am bearish as long as 1250/60 remains intact. My target is at 950 and below.
About the author: Alexander Nikolov
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