S&P 500 Index to see a deeper corrective rebound to 4495 on a close above 4450 – Credit Suisse
|The S&P 500 held near-term support at 4287/76 on Friday and the subsequent strong recovery has turned the spotlight back on resistance at 4434/50 – the key 200-day average and 38.2% Fibonacci retracement of the January collapse. Analysts at Credit Suisse think the pressure is now for a close above here for a deeper corrective recovery to 4495, potentially 4521/31.
S&P 500 Index to reassert a bearish tone again beneath 4292/76
“A close above 4450 should see resistance next at the 13-day exponential average at 4481, then 4495, which we would look to cap at first. Should strength extend, we would see scope for the recovery to extend to 4521/31.”
“Near-term support moves to 4388, then 4374, with a break below 4332 needed for a retest of 4292/76. Beneath here can quickly reassert a bearish tone again for a retest of support at 4223/4199 – the recent low, the 23.6% retracement of the entire 2020/2021 uptrend and the 38.2% retracement of the rally from October 2020.”
See: S&P 500 Index to tank towards a 3,400-3,700 range on escalation of Ukraine-Russia crisis – UBS
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