S&P500 (SPX) Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- The SPX is in a bullish rising wedge with consistent higher lows and strong support from the 50-SMA.

- RSI at 61.33 and the absence of bearish divergence suggest sustained momentum.

- A confirmed break above 5604 could lead to a target near 5781, while a drop below 5426 would signal caution.

The SPX is showing continued strength after breaking above key levels earlier this week. Recent action indicates that the index is firmly testing resistance around 5604 as it climbs from lower levels in April.

Price recently closed above the 50-SMA, which now serves as dynamic support. Although the latest candle featured a slight rejection at the upper band, it appears more like a brief pause rather than a sign of reversal.

Structurally, the index is forming a rising wedge with a series of higher lows that confirm the bullish trend. The RSI currently reads 61.33, indicating healthy momentum without yet reaching overbought levels.

Candlestick patterns, including a small spinning top, have emerged, suggesting some caution among traders—but no major bearish formations like three black crows have materialized.

The absence of significant divergence between price and RSI further supports the view that upward pressure could persist if bulls maintain their grip.

Technically, the market is looking for a break above the recent resistance at 5604. Should bulls succeed, the next target could be set at 5781, with further gains possible if momentum builds.

Conversely, if price falls back and breaches support at 5426, the index may retest lower levels around the 50-SMA as a fallback.

S&P 500 - Trade Ideas

Entry Price – Buy Above 5571

Take Profit – 5781

Stop Loss – 5426

Risk to Reward – 1: 1.4

Profit & Loss Per Standard Lot = +$2100/ -$1450

Profit & Loss Per Mini Lot = +$210/ -$145