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    S&P500: between the levels of 2070.0 and 2079.0. Technical analysis as of 15.06.2016

    Review and dynamics

    The index S&P500 was just missing 15 points in order to reach the highs of 2015 at the level of 2135.00. From the highs of June at the level of 2120.0 the index has declined for the fourth consecutive session and today, the index slightly regained the losses of the past four days.

    To date, the index has won back all losses sustained from the beginning of this year and is now above the key support level of 2070.0 (ЕМА50), 2037.0 (ЕМА200, ЕМА144 on the daily chart).

    Our opinion

    Despite some recovery in the stock indices and the decline of the prices of Yen and gold since the opening of today’s trading session, significant rise in stock indices is prevented by the expectations of forthcoming developments.

    At the moment, the price is between resistance level of 2079.0 (ЕМА200 on 4-hout chart) and support level of 2070.0 (ЕМА50 on the daily chart).The indicators OsMA and Stochastic do not give clear picture. On 4-hour chart the indicators are giving buy signals, while on the daily and weekly charts the indicators recommend to open short positions.

    On the daily and hourly charts, moving average lines with the short-term periods 5,7 and 13 also suggest to open short positions.

    In case of breakout of support level of 2070.0, the index S&P500 will go to 2040.0 and 2037.0. As an alternative scenario the pair can breakout resistance level of 2079.0 (ЕМА200), 2084.0 (ЕМА144 on 4-hour chart) and continue to rise up the recent annual highs at the level of 2120.0.

    At 20:00 (GMT 2) interest rate decisions by the US Fed will become known. Changes are not expected. However, investors are interested in the comments by Mrs. Janet Yellen expecting to know future monetary policy plans by the US Fed.

    This news will determine future direction movement of the USD and the American stock market for the near future.

    Downtrend in the pair can resume after consolidation of the price below the levels of 2037.0, 2000.0 (Fibonacci 61.8% to the decline since December 2015). Positive dynamics will remain until the index maintains position above support level of 2070.0 (ЕМА50 on the daily chart).

    Support levels: 2070.0, 2062.0, 2045.0, 2037.0, 2013.0 and 2000.0.
    Resistance levels: 2079.0, 2084.0, 2098.0 and 2108.0.

    Trading tips


    Sell Stop: 2071.0. Stop-Loss: 2079.0. Targets: 2062.0, 2050.0, 2037.0, 2023.0, 2013.0 and 2000.0.
    Buy Stop: 2082.0. Stop-Loss: 2075.0. Targets: 2084.0, 2098.0, 2100.0, 2108.0 and 2120.0.


    Breakout of the level of 2079.0
    Breakout of the level of 2079.0

    Support level of 2070.0
    Support level of 2070.0


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