Chart Pattern formed – Bearish divergence (RSI and CCI (50) in Monthly chart). S&P500 has touched record high at 2552 on Oct 5th and is consolidating slightly from that level. The index hits low of 2541 and is currently …
Chart Pattern formed – Bearish divergence (RSI and CCI (50) in Monthly chart).
S&P500 has touched record high at 2552 on Oct 5th and is consolidating slightly from that level. The index hits low of 2541 and is currently trading around 2546.
The index near term support is around 2540 and any break below will take the index to next level till 2520 (23.6% retracement of 2416 and 2552)/2500/2459 (5- month MA).Any bearish continuation only below 2416 (Aug 18th 2017 low).
On the higher side, near term resistance is around 2553 and any break above will take the pair to 2585/2600.
In the monthly chart the index has formed bearish divergence in RSI and CCI (50) and a slight dip till 2500/2460 likely.
It is good to sell on rallies around 2550 with SL around 2565 for the TP of 2520/2501.
