- Hopes regarding the plateauing of coronavirus cases and deaths in Europe and in some US States, alongside the anticipation of the re-opening of the economy in some European nations has sent global financial markets back into “risk on” mode to start the week.
- This has sent major European and US stock averages to the upper end of ranges that have dominated over the past 2-3 weeks.
- Here we look at upside prospects for the future on the US benchmark index, the S&P 500.
S&P 500 E-Mini Futures day trade outlook: Growing upside risks
Another strong advance Monday through the 2860.75 resistance to 2881.25, to reinforce Friday’s rebound from new 2755.25 support and to now fully reject Thursday’s failure, to leave risks higher Monday.
- We see an upside bias for 2881.25 and the 2885.0 cycle high, then for 2916.0; a break above aims for 2949/50 and maybe even towards 2984.25.
- But below 2835.5 targets 2812.75, maybe even towards 2782.25.
S&P 500 E-Mini Futures intermediate-term outlook
The mid-April push above 2884.75 signalled an intermediate-term shift from bearish to neutral, with a range seen as 3137.0 to 2424.75.
- Downside risks: Below 2424.75 sets an intermediate-term bear trend to aim for 2174.0, 2000.0 maybe 1802.5.
- Upside risks: Above 3137.0 sets an intermediate-term bull trend to aim for 3397.5 maybe 3500.0.
4 Hour S&P 500 Chart
