09, January 2017

S&P500 (a 4-hour chart)

General overview

Wall Street opened flat as traders were in “wait-and-see” mode ahead of US nonfarm payrolls release.

Current situation

S&P500 stayed in a tight range above 2260 during the European hours on Friday. According to the 4 hours chart the price bounced off the 50-EMAs. The benchmark continued developing well above the moving averages afterwards. The 100 and the 200-EMAs pointed higher while the 50 remained flat. The resistance is at 2280, the support comes in at 2260.

MACD remained at the same level which confirms the strength of buyers. RSI indicator was within the overvalued territory close to the neutral area.

Trading recommendations

The overall outlook remains bullish, for rise towards 2280 resistance area.