19, July 2016

SP500 (a 4-hour chart)

SP500 (a 4-hour chart)

General overview

The Bonds Market strengthened in the USA on Monday. S&P500 traded near intraday highs as the financial reports of the leading USA companies kept showing positive data.

Current situation

The S&P500 remained in a narrow side channel which is limited by the marks 2160 and 2150. The resistance is at 2165, the support is seen at 2150.

MACD is in the positive area. Its histogram decreased which indicates the buyers’ positions weakening. The indicator still gives a buy signal. RSI is close to the overbought territory.

The price broke the 50-EMA, but failed to break the 100-EMA in the 1 hour chart. The moving averages direction is upwards.

Trading recommendations

We suppose the price will remain in the side channel 2165-2150.