S&P 500 shows strength on Thursday

The S&P 500 pulled back a bit during the trading session on Thursday, testing the 2640 region. We found enough support there to turn around and reach towards the 2660 level, an area that was previous support and now should be resistance. I think that the market will continue to try to go higher, as the earnings in the United States continue to be very strong. The uptrend line is hanging about the 2600 level underneath, and that for me is the bottom of the uptrend. I think if we broke down below there, the market will probably unwind to the 2550 handle, and then the 2500 level rather quickly.

Overall, I anticipate that we will try to go to the 2700 level, and then eventually 2750, followed by the 2800 level. Short-term dips offer value that I think a lot of people are willing to take advantage of, as the selloff has been a bit drastic as of late. I think that the uptrend line would be something to pay attention to, and if we fell through their it would almost certainly cause some type of panic. This is because there has been so much volatility lately that people are becoming a bit skittish. However, these massive selloffs should be thought of as an opportunity. I believe that a lot of longer-term traders are looking at them as such. Spec noise, but I believe that we are trying to build up a base.

S&P 500 Video 27.04.18