S&P 200 (AXJO.NDX)

Short term

S&P 200 has broken the falling trend channel down in the short term. This signals an even stronger falling rate. There is no support in the price chart and further decline is indicated. In case of a positive reaction, the index has resistance at 7750 points. Volume tops and volume bottoms correspond well with tops and bottoms in the price. Volume balance is also positive, which weakens the falling trend and could be an early signal of a coming trend break. RSI diverges positively against the price, which indicates a possibility for a reaction up. The index is overall assessed as technically negative for the short term.

Recommendation one to six weeks: Negative

Medium term

S&P 200 has broken the floor of the rising trend channel in the medium long term, which indicates a weaker initial rising rate. The index gave a negative signal from the double top formation by the break down through the support at 8067. Further fall to 7663 or lower is signaled. The index is approaching support at 7560 points, which may give a positive reaction. However, a break downwards through 7560 points will be a negative signal. Positive volume balance indicates that volume is high on days with rising prices and low on days with falling prices, which strengthens the index. The index is overall assessed as technically slightly positive for the medium long term.

Recommendation one to six months: Weak Positive

Long term

S&P 200 has broken the floor of the rising trend channel in the long term, which indicates a weaker initial rising rate. The index gave a negative signal from the double top formation by the break down through the support at 8067. Further fall to 7663 or lower is signaled. The index is testing support at points 7600. This could give a positive reaction, but a downward breakthrough of points 7600 means a negative signal. Positive volume balance indicates that buyers are aggressive while sellers are passive, and strengthens the index. Trading volume has increased substantially lately, which may be because of fundamental news. The RSI curve shows a falling trend, which could be an early signal of the start of a falling trend for the price as well. The index is overall assessed as technically slightly positive for the long term.

Recommendation one to six quarters: Weak Positive