S&P 500: recovery and reconquest?

S&P 500: recovery and reconquest?

2021-02-25 • Updated

Finally, the stock market is seeing better days. After having peaked at 3 960 two weeks ago, the S&P went into a fortnight plunge. It dropped as low as almost 3 800 in the beginning of this week. However, since then, it recovered most of the losses crossing all the MAs above 3 900.

What we have to do now is to watch the support of 3 900 and the MAs around it. It’s advisable to hold and abstain from entering the market so far. If the index crosses this formidable support downwards, that would mean that the bearish potential is not exhausted, and we are yet to see more downtrend.

Otherwise, the S&P will bounce from the support upwards – in this scenario, it will likely cross 3 960 to finally challenge 4 000 forming a new uptrend.

Action plan:

  1. Wait for the 3 900 support to either get crossed downwards or send the index upwards
  2. Buy if the S&P bounces upwards
  3. Sell if the S&P crosses 3 900, 100-MA, and 50-MA downwards

S&P500H4.png

                                                                                                LOG IN

Similar

Nvidia: up for a gain?
Nvidia: up for a gain?

We're going to receive the earnings report from Nvidia on Wednesday midnight, and observers are convinced it'll be a bingo.

Stocks and triangle patterns
Stocks and triangle patterns

We love triangles because they're easy to spot and predict possible price moves. Do we have any in the stock market?

Latest news

Gold: short-term trade ideas
Gold: short-term trade ideas

Everyone is interested in trading gold (XAU/USD). The meeting of the Federal Reserve at 21:00 MT time (GMT+3) will certainly drive the price.

Deposit with your local payment systems

Learn more

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera