Hellena | SPX500 (4H): LONG to the 7620-7625 resistance area.

Jun 12

We have not updated the S&P 500 idea for a while, and now the structure looks interesting again for a possible bullish continuation.

Judging by the current wave count on the SPX500 4H chart, the market has completed an extended bullish wave "1" around the 7620-7625 area. After that, the price formed a correction as wave "2", which may have already been completed around the 7228.7 area.

The price has now bounced from this support zone and is trading above the local 7325.9 area. For me, this is an important point: as long as the market holds above the wave "2" low, the bullish continuation scenario remains valid.

I allow for the price to spend some more time inside the current zone or make a local pullback before moving higher. But if the support area holds, I expect a new upward move to develop.

The main target I am watching is the 7620-7625 resistance area. This is the zone where wave "1" was previously completed, so it makes sense to consider it as the nearest recovery target.

The news background is currently supportive for risk assets: the market is reacting to hopes of easing tensions in the Middle East, while lower oil prices slightly reduce inflation pressure. At the same time, U.S. producer inflation data remains a risk factor, so intraday volatility is still possible. Technically, as long as the wave "2" low around 7228.7 is not broken, I continue to watch for long positions.

Manage your capital properly and wisely! Enter trades only based on reliable patterns!

Jun 16

Trade active

Although there is a high probability of a pullback toward the breakout level (7477), I still expect the uptrend to continue and the target to be reached.

I recommend to set trade to breakeven.
(Breakeven=Risk Free: Move Stop loss to the entry level).