At 4236, I expect a market peak and a pause in its movement.

SP500 Technical Analysis ES1! futures S&P 500 Index 4-4-23

Today the S&P500 (ES1!) is trading at 4166.

Yesterday, we saw the index continue its upward movement toward the 4197 level. Currently, the market is in a stable uptrend. However, after analyzing market volumes today, I have concluded that the market peak will actually be higher than the level I previously mentioned. The new level at which we should expect a peak and subsequent confident market stabilization is somewhere between 4220 and 4232.

I anticipate that medium-term investors will begin actively locking in profits at this level, reevaluating their plans due to the strong growth. As I mentioned in late March, the index is moving toward the 4164-4196 range, and it has now nearly reached this target, entering the zone of an expected reversal. But at this point, I expect the index to attempt to pause and stabilize its movement near the upper boundary of this level, around 4197. This pause in growth will primarily be caused by profit-taking from speculators who opened their positions earlier. However, significant market exits by medium-term investors will occur slightly higher.

If you didn’t see my analysis yesterday, you can check it out here.

What to expect today:

Today, upon market opening, I expect the index to try stabilizing at the 4150 level before further increasing to the 4197 level and beyond. As I mentioned earlier, we should anticipate an attempt to stabilize the index here due to profit-taking.