Stock index S&P 500 continue to move within the downward channel. At the time of publication of the forecast, the index is trading at 2790. At this point, we should expect an attempt to continue the correction and test the resistance level near the area of 2810. Where should we expect a rebound and the continuation of the fall of the S&P 500 quotes to the area below the level of 2745.
S&P 500 Forecast and Analysis May 31, 2019
In favor of the fall of the stock index quotes, a test of the resistance line on the indicator of relative strength index (RSI) will be made. The second signal will be a rebound from the upper boundary of the downward channel. Cancellation of the option to reduce the quotations of the index will be a strong growth and a breakdown of the 2865 region. This will indicate a breakdown of the resistance level and continued growth of the S&P 500 with a target above the level of 2920. Expect the acceleration of the fall in the stock index quotes with the breakdown of the support area and closing below the 2760 region.
S&P 500 Forecast and Analysis May 31, 2019 implies an attempt to test the resistance level near the 2810 area. Then continue falling to the area below the level of 2745. The test of the resistance line on the relative strength index (RSI) will be in favor of lowering the S&P 500 quotes. Cancellation of the reduction option will be a strong growth and a breakdown of the area of 2865. This will indicate continued growth with a target above the area of 2920.