Tuesday, 9 February 2016

S&P 500 testing cluster of support, move to above 2015 high likely

Weekly chart shows the S&P testing support at two trend lines, both look important to me.

Daily chart shows another test of trend line support, and also illustrates the corrective nature of the S&P's decline from the 2015. The correction looks complete or nearly so. By definition, a completed correction will be followed by a rally to new highs, in the S&P's case, new record highs.