04-02-2024 S&P 500 Short-term Update

TECHNICAL ANALYSIS (by Intraday Dynamics)

What Is an Island Reversal?

S&P 500 Index Hourly HLC

The S&P 500 gapped into lower trade on Tuesday and the cash index now has a large 7-day, island top on the hourly chart. (The daily SPY shows the same large island.) The hourly reached oversold conditions in Tuesday’s trade. Prices gapped under a steep trendline and tested the last breakout area, and pulled up just short of support at 5180. A continued breakdown under 5180 should test 5155 with potential to pivotal short-term support at 5129/5125. Daily closes under 5125 can carry to 5045/5038 with counts to 4977 and critical short-term support of 4909/4905. A breakdown under 4905 sets up a move to 4587. Closes under 4587 give counts to 4378 with potential to daily support at 4168/4160.

SPY Daily H-L-C

Resistance is 5215, 5224 and pivotal at 5233/5235. Rallies over 5235 should test 5244/5245 and opens potential back to 5264/5265. A drive over 5265 counts to 5288. Closes over 5288 will open counts into the 5432 level. A breakout over 5432 will open potential to the 5576 with counts into the 5720 area. Closes over 5720 offer upside targets at 6000/6008. 

Resistance

  • 5215 **
  • 5224 ***
  • 5233/5235 *** ↑
  • 5244/5245 ** ↑
  • 5255 **
  • 5264/5265 *** ↑
  • 5288 *** ↑
  • 5306 ***
  • 5324 **
  • 5342 **
  • 5360 ***
  • 5378 **
  • 5396 **
  • 5432 *** ↑
  • 5468 **
  • 5504 **
  • 5540 **
  • 5576 *** ↑
  • 5612 **
  • 5648 **
  • 5684 ***
  • 5720 *** ↑
  • 5756 **
  • 5792 **
  • 5828 **
  • 5864 *** ↑
  • 5936 **
  • 6008 *** ↑
  • 6044 **
  • 6080 *** ↑
  • 6116 **
  • 6152 ***
 Support

  • 5184 **
  • 5180 *** ↓
  • 5155 ***
  • 5129/5125 *** ↓
  • 5104 **
  • 5092 ** gap
  • 5080 *** ↓fills gap
  • 5055 **
  • 5045/5038 *** ↓ hourly gap
  • 5020 **
  • 5000 ** ↓
  • 4983 *** fills gap
  • 4977 *** ↓
  • 4956 **
  • 4930 **
  • 4909/4905 *** ↓
  • 4876 **
  • 4866 ** ↓
  • 4846 **
  • 4828 **
  • 4808 ***
  • 4790 **
  • 4775/4774 *** ↓
  • 4764 *** ↓
  • 4733 **
  • 4714 *** ↓
  • 4699 **
  • 4682 ***
  • 4663 **
  • 4646 **
  • 4607 ** ↓
  • 4587 *** ↓
  • 4566 **
  • 4510 *** ↓
  • +++++++++++
  • 4378 *** ↓
  • 4168/4160 *** ↓

 Charts courtesy of CQG, Inc., and Trading View