SP500 Technical Analysis ES1! futures S&P 500 Index 5-10-23
Today’s Market Overview:
Yesterday, at the beginning of the trading day, we saw an attempt to stabilize the index; however, throughout the day, the index tried to drop to the level of 4120-4115, but the market could only do so during the trading session in the Asian market. As I mentioned in my review yesterday, the index is moving towards the level of 4115-4120. It is at this level that major speculators have placed their orders in an attempt to trade upwards to the level of 4180. Yesterday’s stabilization and attempt at growth was a weak attempt by inexperienced traders in long trading.
However, today our trading situation looks like this: experienced speculators still want to use the level of 4115- 4120 for upward trading with the aim of moving the index to the level of 4180. I expect that this scenario will unfold throughout the day. And if successful, we will see an attempt to reverse and grow the index at the level of 4180.
Now let’s talk about the medium-term perspective.
As I mentioned several days ago, there is currently a need for funding among major investment banks and funds to support bond portfolios. Moreover, the bond market itself looks, to put it mildly, catastrophic. Such situations should necessarily cause experienced specialists to need to close part of the positions, both with the aim of directly reducing actual risks to investment portfolios and with the aim of freeing up funds for funding current positions.
Whatever the case, if such decisions are made at the level of 4180, which is very likely, we will see a sharp decline in the index to a level below 4000, somewhere around 3980. It is around this level that we need to look for opportunities to open long positions with the aim of trading towards the level of 4310, which we have been discussing with you for the past few months.
If you didn’t see my analysis yesterday, you can check it out here.
What to expect today:
Today, at the opening of the market, my expectations remain the same as before and as yesterday: I expect an attempt to decrease the index to the level of 4115, where orders from large experienced speculators are located. After that, I expect an attempt to stabilize the market and an attempt to grow the index to the level of 41,80. However, if this attempt is broken, we will see a sharp further decline in the index.
Give me a thumbs up if you agree with today’s trading idea. Also, remember to contact me in 2-3 days for further trading advice. If you have any questions about my analytics and trading logic, I recommend reading the FAQ. Please share a link to my blog to help promote it. Follow me on Twitter to stay up-to-date on the S&P 500 index. Additionally, visit my About Me page to get to know me better.
