Nasdaq

S&P 500 Index Hits Fresh All-time Highs Above 3,650

The S&P 500 cleared the 3650 level this Tuesday and hit all-time highs, even as all leading indices on Wall Street posted substantial gains this Tuesday. Gains were fuelled by increased risk flows, which were also helped by calls from the US Treasury Secretary to the US Congress to approve a paycheck protection package worth $300 billion. 

All sectors that make up the S&P 500 rose this Tuesday. The Energy index is also up nearly 3% despite the stall in crude oil prices, allowing this subsector to recover a lot of yesterday’s losses, which were incurred as crude oil prices fell due to OPEC’s failure to reach a consensus on extending production curbs. 

The S&P 500 currently trades at 3668.3 at the time of writing, just short of the high at 3676.2.

Technical Levels to Watch

The S&P 500 has violated the 3645 resistance level and has pushed into record territory as it trades at 3669.7. This sets the index on a collision course with the 127.2% Fibonacci extension level at 3738.6. However, this target is only achievable if there is a confirmation of a break of 3645. So far, all we have is a violation; there must be two successive daily candle closing penetrations above this resistance to provide the confirmation. 

On the flip side, failure of confirmation or lack of follow-through buying to drive a price filter confirmation (3% penetration close above 3645.4) could precipitate a short-term decline, targeting 3588.1 and 3528.9, in that order. 3481.6 and 3393.5 are additional targets to the south. 

Don’t miss a beat! Follow us on Telegram and Twitter.

S&P 500 Daily Chart

More content

Related Posts: