“The S&P 500 has been consolidating around 4200“– Paul Ebeling
S&P 500 has been in its expected consolidation phase following the move to 4200 back in late April. The case has been that this would be a temporary pause to refresh within the core Bull trend. This consolidation could extend through Q-2.
But my work now shows that there are growing signs this C-phase may be coming to an end with the core Bull trend set to resume.
With near-term momentum turning higher, the consolidation phase in the S&P 500 around our 4250 Q-2 objective suggest that the index is getting closer to a resumption of the continuing uptrend.
A move above the 4238 current high is needed to confirm with the upper end of the extreme at 15% above the 200-day SMA now at 4330, just ahead of 4350, the next objective. Seeing next resistance at 4436.
Key support is at 4168 initially. And a break below 4057 warns of a near-term top.
Have a happy day, Keep the Faith!