S&P 500 Outlook: Bearish Pullback While Under 6,634SPX500 – Technical Overview
The S&P 500 recorded a new all-time high at 6,633 as markets brace for the Federal Reserve’s rate decision later this week.
Futures remain supported by expectations of a 25 bps cut, while traders await Powell’s commentary for guidance on inflation, labor-market weakness, and tariff risks.
Monday’s rally to record highs was fueled by optimism around U.S.–China trade talks, strong tech performance, and fresh gains in gold and mining stocks.
Technical Outlook
📉 Bearish correction:
While price trades below 6,634, a near-term pullback is favored.
Downside targets: 6,605 → 6,590, with deeper support at 6,571 if selling pressure accelerates.
📈 Bullish continuation:
A confirmed 1H close above 6,634 would reassert bullish momentum.
Next upside targets: 6,662 → 6,700.
📌 Market Context:
The Fed’s meeting and Powell’s tone remain the primary catalysts. A dovish message or stronger-than-expected cut could fuel a breakout above 6,634 toward new highs, while a cautious or hawkish stance may encourage a deeper correction before the next bullish leg.
