Recommendation for S&P 500 Index: Sell
Sell Stop : Below 3309.83
Stop Loss : Above 3447.19
Indicator | Value | Signal |
RSI | Neutral | |
MACD | Sell | |
Donchian Channel | Sell | |
MA(200) | Buy | |
Fractals | Neutral | |
Parabolic SAR | Sell |
Chart Analysis
On the daily timeframe the SP500: Daily is retreating after hitting all time high in the beginning of September, while still above the 200-day moving average MA(200) which is rising yet. We believe the bearish momentum will continue after the price breaches below the lower boundary of Donchian channel at 3309.83. A level below this can be used as an entry point for placing a pending order to sell. The stop loss can be placed above 3447.19. After placing the order, the stop loss is to be moved every day to the next fractal high, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level (3447.19) without reaching the order (3309.83), we recommend cancelling the order: the market has undergone internal changes which were not taken into account
Fundamental Analysis
US economic recovery slowed in September. Will the SP500 retreat continue?
Want to get more free analytics? Open Demo Account now to get daily news and analytical materials.
This overview has an informative character and is not financial advice or a recommendation. IFCMarkets. Corp. under any circumstances is not liable for any action taken by someone else after reading this article.
Recommended Content
Editors’ Picks
EUR/USD continues to grind out further losses
EUR/USD continued to drift into the basement on Wednesday, clipping into a 54-week low and settling within touch range of 1.0550. Fiber continues to shed weight on the charts as broader FX markets pivot full-bore into holding the Greenback.
GBP/USD sheds weight for a fourth straight day on Wednesday
GBP/USD eased further into the low end on Wednesday, trimming further south of the 200-day Exponential Moving Average in a one-sided bearish decline as the pair closes in the red for a fourth consecutive trading day.
Gold extends slide to fresh two-month low
After shedding some ground throughout the first half of the day, the US Dollar is back in fashion. XAU/USD trades at its lowest in two months in the $2,580 region and is technically poised to extend its slump.
Australia unemployment rate expected to remain steady for third straight month in October
The Australian Unemployment Rate is foreseen stable at 4.1% in October. Employment Change is expected at 25K, much lower than the 51.6K posted in September. AUD/USD is under pressure and may soon pierce the 0.6500 mark.
Trump vs CPI
US CPI for October was exactly in line with expectations. The headline rate of CPI rose to 2.6% YoY from 2.4% YoY in September. The core rate remained steady at 3.3%. The detail of the report shows that the shelter index rose by 0.4% on the month, which accounted for 50% of the increase in all items on a monthly basis.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.