S&P 500 Index to extend its race higher towards the 4663/68 area – Credit Suisse

The S&P 500 Index  has gapped higher to clear with ease the February highs at 4590/95. Analysts at Credit Suisse stay directly biased higher for the 78.6% retracement of the 2022 fall at 4663/68.

Support at 4593/76 holding on a closing basis to keep the immediate risk higher

“We stay directly biased higher for a test of the 78.6% retracement of the 2022 fall and price resistance at 4663/68 where we would then expect to see a cap at first. Should strength directly extend this would open the door to a move to 4707/12 next, then what we look to be tougher resistance, starting at 4744/49 and stretching up to the 4819 record high.”

“Support from the price gap at 4593/76 holding on a closing basis can keep the immediate risk higher. A closing break lower though would warn of a near-term exhaustive peak and a fall back to 4518/14.”