The S&P 500 Index appears to be setting up for an important breakout “test”.
Stock market bulls are cheering for a breakout, while bears are looking for a pullback off resistance.
In today’s chart, we look at the S&P 500 Index on longer-term “weekly” basis.
As you can see, the S&P 500 has spent the majority of the past 20 years trading within a broad, rising price channel at each (1).
It is currently testing the top of this 20-year channel at (2). This area also happens to be the 261% Fibonacci price extension level. So this is an important resistance area.
Will the S&P 500 breakout? Or will bears turn prices lower? This is an important juncture for investors. Stay tuned!!
S&P 500 “weekly” Chart
Note that KimbleCharting is offering a 2 week Free trial to See It Market readers. Just send me an email to services@kimblechartingsolutions.com for details to get set up.
Twitter: @KimbleCharting
Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
