Another New All-Time High – Will Uptrend Accelerate?
Briefly: In our opinion speculative long positions are still favored (with stop-loss at 1,910, S&P 500 index).
Our intraday outlook is neutral, and our short-term outlook remains bullish:
Intraday (next 24 hours) outlook: neutral
Short-term (next 1-2 weeks) outlook: bullish
Medium-term (next 1-3 months) outlook: neutral
Long-term outlook (next year): bullish
The U.S. stock market indexes gained between 0.1% and 0.2% on Friday, extending their short-term advance, as investors remained optimistic following some recent economic data announcements. Our Friday’s bullish short-term outlook has proved to be right, as the S&P 500 index has reached new all-time high of 1,963.91. The nearest important level of support is at around 1,950-1,955, marked by previous local highs, among others. The next support is at 1,915-1,925, marked by the early June consolidation. On the other hand, a potential resistance is at the psychological level of 2,000. There have been no confirmed negative signals so far, as we can see on the daily chart:
Expectations before the opening of today’s session are virtually flat, with index futures currently mixed between -0.1% and 0.0%. The European stock market indexes have lost 0.3-0.5% so far, following some worse-than-expected economic data releases. Investors will now wait for the Existing Home Sales number announcement at 10:00 a.m. The S&P 500 futures contract (CFD) trades close to its all-time high, following some early morning retracement. The resistance level is at around 1,960. On the other hand, the nearest important support is at 1,945-1,950. For now, it looks like a relatively flat correction within an uptrend:
The technology Nasdaq 100 futures contract (CFD) is relatively weaker than the broad stock market, as it continues to fluctuate along the level of 3,800. The nearest important support level is at around 3,775-3,800, marked by recent local low, as the 15-minute chart shows:
Concluding, the broad stock market extended its long-term uptrend, as it reached a new record high on Friday. We continue to maintain our already profitable long position, expecting some more upside. The stop-loss (protect-gain in this case) remains at 1,910 – S&P 500 index.
Stock Trading Strategist
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All essays, research and information found above represent analyses and opinions of Paul Rejczak and Sunshine Profits' associates only. As such, it may prove wrong and be a subject to change without notice. Opinions and analyses were based on data available to authors of respective essays at the time of writing. Although the information provided above is based on careful research and sources that are believed to be accurate, Paul Rejczak and his associates do not guarantee the accuracy or thoroughness of the data or information reported. The opinions published above are neither an offer nor a recommendation to purchase or sell any securities. Mr. Rejczak is not a Registered Securities Advisor. By reading Paul Rejczak’s reports you fully agree that he will not be held responsible or liable for any decisions you make regarding any information provided in these reports. Investing, trading and speculation in any financial markets may involve high risk of loss. Paul Rejczak, Sunshine Profits' employees and affiliates as well as members of their families may have a short or long position in any securities, including those mentioned in any of the reports or essays, and may make additional purchases and/or sales of those securities without notice.
Paul Rejczak is a stock market strategist, who has been known for quality of his technical and fundamental analysis since the late nineties. He is interested in forecasting market behavior based on both traditional and innovative methods of technical analysis. Paul has made his name by developing mechanical trading systems. Paul is the author of Sunshine Profits’ premium service for stock traders: Stock Trading Alerts.