SPX some more upside before ressistance

The EURO STOXX 50 has reached a resistance level (3200) and stays in a no-man’s land below last week’s high (3213). Testing its 200-day moving average, the S&P 500 has already recorded a new high above last week’s high, not the Dow Industrial, not the Nasdaq, but both could follow quickly. One quick trade before next leg down ? 2810 on SPX is crucial. Look for the breakout or reverse back down.

Comment:

The S&P500 future has completed a countdown, leading to a market timing sell signal identifying a trend exhaustion area below 2795.75. There is the same signal for the Nasdaq and in Europe, EURO STOXX 50, Euronext 100, FTSE Eurotop 100…In addition, the chart shows a MACD classic bearish divergence, suggesting the index has reached an area where price could reverse and start declining. It’s clear enough: this market is ready for a pause/pullback or reversal.

Tactically speaking, to say the least, it is too late to chase the rally.