Science Investing Team
Science Investing
Odds are shifting further to the red scenario. The 2790-2800 S/R cluster is an important step towards a breakout. Moreover, the Dow Jones Industrial is close to its downward sloping trend resistance. Both indices overcoming these levels looks like a solid breakout. Overcoming this cluster shifts the next target for the S&P 500 above the January high.
The orange trend channel needs to hold in order to support the red scenario. If this support fails, the 2692 low gets most likely targeted. We remain with our forecast that the black alternative scenario resolves to the upside as well eventually.
All in all, another spike into a new high remains likely. However, short-term traders may want to wait for a clear break of the 2790-2800 cluster in order to optimize their risk/reward setup.
Interested in more of our ideas? Check out Scienceinvesting for more details!
The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors. Reproduction without ESI Analytics’ prior consent is strictly forbidden.
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