S&P 500: technical analysis and trading recommendations_10/08/2021


Today, S&P 500 futures are traded in a range ahead of the NFP publication, in the zone of strong resistance levels 4405.0, 4411.0 (ЕМА200 on the 4-hour chart). Their breakdown could provoke further growth and resumption of the long-term upward dynamics of the S&P 500.

In an alternative scenario, the breakdown of the support level 4371.0 (ЕМА200 on the 1-hour chart) will be the first signal to open short positions with targets at long-term support levels 4265.0 (ЕМА144 on the daily chart), 4160.0 (ЕМА200 on the daily chart).

A breakdown of the long-term support level 4085.0 (ЕМА50 on the weekly chart) will increase the risks of a deeper decline towards the key support levels 3530.0 (ЕМА144 on the weekly chart), 3325.0 (ЕМА200 on the weekly chart).

In general, the long-term positive dynamics of the S&P 500 prevails, and the breakdown of the local resistance level of 4481.0 will become a confirmation signal in favor of long positions with the nearest target at absolute record highs near 4545.0.

Support levels: 4371.0, 4300.0, 4265.0, 4160.0, 4085.0

Resistance levels: 4405.0, 4411.0, 4481.0, 4545.0

Trading recommendations

Sell Stop 4380.0. Stop-Loss 4408.0. Targets 4371.0, 4300.0, 4265.0, 4160.0, 4085.0

Buy Stop 4408.0. Stop-Loss 4380.0. Targets 4411.0, 4481.0, 4545.0