S&P500 (SPX) Price Analysis – March 28, 2025
Daily Price Outlook
The S&P 500 index has been facing challenges lately, dropping to an intra-day low of 5,670. This decline is due to concerns about various macroeconomic and geopolitical issues.
In the meantime, the uncertainty around US policy, the impact of increasing tariffs, and global trade disruptions are weighing on the market. Moreover, investors are worried about potential credit rating downgrades as rising government deficits and economic instability could lead to more risks for market stability.
US Policy Uncertainty Weighs on Market Sentiment
It should be noted that the announcement of new tariffs by US President Donald Trump on imported cars and light trucks has significantly impacted investor sentiment.
These new tariffs, along with Trump's planned reciprocal tariff announcements next week, have fueled fears of a trade war, further intensifying global economic uncertainty. This has resulted in a more cautious approach from investors, contributing to a decline in the S&P 500.
On the other hand, Moody's has warned that the combination of tax cuts and higher tariffs could widen the US government’s deficits, making a potential downgrade of the US debt rating more likely. This has raised alarms among investors, adding to the market's negative sentiment.
In the meantime, the S&P Global also warned that policy uncertainty in the US could hinder global economic growth, especially in emerging markets, while Fitch Ratings noted that smaller economies like Brazil, India, and Vietnam would be particularly vulnerable to these trade disruptions.
Therefore, the warnings from Moody’s, S&P Global, and Fitch Ratings about rising deficits, trade disruptions, and policy uncertainty heighten market concerns, leading to increased volatility and further pressure on the S&P 500 index.
Rising Treasury Yields and Economic Concerns
Another major factor affecting the S&P 500's performance is the rise in Treasury yields. As of the latest data, the 2-year US Treasury yield stood at 3.99%, and the 10-year yield was at 4.35%.
These higher yields suggest growing investor concerns about inflation and future interest rate hikes by the Federal Reserve.
Hence, the stronger US Dollar, supported by the higher yields, has also added downward pressure on the S&P 500.
US GDP Growth Surpasses Expectations Amid Escalating Global Trade Disruptions, Keeping S&P 500 Under Pressure
Despite the challenging outlook, the latest data on US Gross Domestic Product (GDP) for Q4 2024 revealed a growth rate of 2.4%, surpassing expectations of 2.3%.
This positive GDP growth has led investors to look closely at upcoming economic indicators, including the US Personal Consumption Expenditures (PCE) Price Index, due for release soon.
Meanwhile, global trade disruptions are escalating, with China’s push to strengthen its aluminum industry by 2027 and recent tariff threats from the US on copper imports adding further complexity to the market landscape.
Therefore, the stronger-than-expected GDP growth of 2.4% provides a positive outlook, but escalating global trade disruptions, including China's aluminum push and US tariff threats, add uncertainty, keeping the S&P 500 under pressure.
S&P 500 – Technical Analysis
The S&P 500 is trading at 5693.32, up 0.05%, continuing its slow grind higher as equity markets digest macroeconomic cues. The index remains above its key pivot point at 5673.60, supported by the 50-period Exponential Moving Average (EMA) at 5660.75.
This alignment signals continued bullish momentum in the short term, with traders maintaining confidence in the broader trend.
Immediate resistance is seen at 5784.91. A sustained break above this level could open the door to further upside toward 5865.56 and potentially 5968.80.
The overall price structure remains bullish, with the index trading within an upward channel on the 4-hour timeframe. While the relative strength index (RSI) hints at slightly overbought conditions, there is no immediate sign of reversal.
On the downside, support is found at 5606.24. A breach below this level may prompt a corrective pullback toward 5506.10, followed by deeper support near 5407.38.
However, unless price slips below the pivot and loses the EMA support, pullbacks are likely to be viewed as buying opportunities.
For now, the path of least resistance remains to the upside. A buy-on-dip strategy above 5670 remains favorable, with a target near 5842 and a stop-loss at 5587 for risk-managed positioning.
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S&P500 (SPX) Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- S&P 500 holds firm above 5673.60 pivot and 50 EMA at 5660.75.
- Resistance levels: 5784.91, 5865.56, and 5968.80.
- Support zones: 5606.24, 5506.10, and 5407.38.
The S&P 500 is trading at 5693.32, up 0.05%, continuing its slow grind higher as equity markets digest macroeconomic cues. The index remains above its key pivot point at 5673.60, supported by the 50-period Exponential Moving Average (EMA) at 5660.75.
This alignment signals continued bullish momentum in the short term, with traders maintaining confidence in the broader trend.
Immediate resistance is seen at 5784.91. A sustained break above this level could open the door to further upside toward 5865.56 and potentially 5968.80.
The overall price structure remains bullish, with the index trading within an upward channel on the 4-hour timeframe. While the relative strength index (RSI) hints at slightly overbought conditions, there is no immediate sign of reversal.
On the downside, support is found at 5606.24. A breach below this level may prompt a corrective pullback toward 5506.10, followed by deeper support near 5407.38.
However, unless price slips below the pivot and loses the EMA support, pullbacks are likely to be viewed as buying opportunities.
For now, the path of least resistance remains to the upside. A buy-on-dip strategy above 5670 remains favorable, with a target near 5842 and a stop-loss at 5587 for risk-managed positioning.
S&P 500 - Trade Ideas
Entry Price – Buy Above 5670
Take Profit – 5842
Stop Loss – 5587
Risk to Reward – 1: 2
Profit & Loss Per Standard Lot = +$172/ -$830
Profit & Loss Per Mini Lot = +$17/ -$83
S&P500 (SPX) Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bearish momentum strengthens below 5686, with downside targets at 5599 and 5506.
- The 50-day EMA at 5662 acts as a key inflection point, balancing near-term market sentiment.
- Entry Price: Sell below 5686, targeting 5561, with a stop loss at 5770.
The S&P 500 is trading at 5662.88, holding steady with a slight uptick of 0.01% as traders navigate a market influenced by economic data and Federal Reserve signals.
The 50-day EMA at 5662.39 is currently aligning with price action, acting as a key dynamic level that could dictate near-term direction.
The pivot point at 5686.10 serves as a critical marker for today’s session. If the index fails to reclaim this level, a bearish move could accelerate toward immediate support at 5599.00, followed by 5506.10 and 5407.38.
The lack of upside momentum suggests potential weakness, with profit-taking emerging after recent highs.
On the upside, resistance is noted at 5780.12, with further barriers at 5859.14 and 5938.11. A breakout above these levels would suggest renewed bullish sentiment, possibly leading to fresh all-time highs.
A sell-off below 5686 could confirm a bearish breakout, increasing the likelihood of a correction toward 5561.
S&P 500 - Trade Ideas
Entry Price – Sell Below 5686
Take Profit – 5561
Stop Loss – 5770
Risk to Reward – 1: 1.4
Profit & Loss Per Standard Lot = +$1250/ -$840
Profit & Loss Per Mini Lot = +$125/ -$84
S&P500 (SPX) Price Analysis – March 21, 2025
Daily Price Outlook
The S&P 500 (SPX) extended its losses and dropped below 5,662, hitting an intra-day low of 5,632. The broad market index remains under pressure as investors react to heightened geopolitical tensions, US tariff threats, and expectations of Federal Reserve rate cuts.
Geopolitical Tensions Weigh on Market Sentiment and S&P 500
Market sentiment was further dampened by escalating geopolitical tensions. Russia and Ukraine intensified aerial attacks, with Ukraine targeting Russia’s Engels airbase, resulting in fire and explosions.
Moreover, Russia launched 171 drones over Ukrainian territory, escalating the conflict. Meanwhile, Russian and US officials are set to hold talks in Saudi Arabia on Monday regarding the ongoing war.
On the other side, the tensions in the Middle East have also worsened, as Israel resumed heavy strikes across Gaza, ending a ceasefire with Hamas that had been in place since late January.
In response, Hamas launched three rockets at Israel on Thursday, further unsettling global markets. Therefore, the increasing geopolitical instability drove investors toward safe-haven assets like gold and the US dollar, while risk-sensitive equities, including the S&P 500, faced renewed selling pressure.
Trade War Fears and Tariff Uncertainty Weigh on Equities
Apart from this, investors remain concerned over US President Donald Trump's reciprocal tariff threats, set to take effect on April 2.
The uncertainty surrounding these tariffs, on top of a 25% duty on steel and aluminum implemented in February, has raised fears of a potential trade war.
Therefore, the lack of clarity on the specifics of these tariffs is keeping market participants cautious, leading to continued selling pressure on equities.
Fed Rate Cut Expectations and Stronger Dollar Weigh on S&P 500
On the US Fed front, the Federal Reserve has indicated plans for two 25-basis-point rate cuts by the end of the year, citing concerns over economic growth amid the uncertainty of Trump's trade policies.
Fed Chair Jerome Powell acknowledged that tariffs could dampen economic activity, leading to increased speculation that the central bank will lower interest rates in June, July, and October.
Meanwhile, the US dollar continues to strengthen for the third consecutive day, creating headwinds for equities and further pressuring the S&P 500.
Looking ahead, investors will closely watch updates on US tariff policies, geopolitical developments, and upcoming Federal Reserve meetings to gauge the future direction of the market.
S&P 500 – Technical Analysis
The S&P 500 is trading at 5662.88, holding steady with a slight uptick of 0.01% as traders navigate a market influenced by economic data and Federal Reserve signals.
The 50-day EMA at 5662.39 is currently aligning with price action, acting as a key dynamic level that could dictate near-term direction.
The pivot point at 5686.10 serves as a critical marker for today’s session. If the index fails to reclaim this level, a bearish move could accelerate toward immediate support at 5599.00, followed by 5506.10 and 5407.38.
The lack of upside momentum suggests potential weakness, with profit-taking emerging after recent highs.
On the upside, resistance is noted at 5780.12, with further barriers at 5859.14 and 5938.11. A breakout above these levels would suggest renewed bullish sentiment, possibly leading to fresh all-time highs.
A sell-off below 5686 could confirm a bearish breakout, increasing the likelihood of a correction toward 5561.
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S&P500 (SPX) Price Analysis – March 14, 2025
Daily Price Outlook
The global market sentiment has been flashing red as witnessed by the continued decline in the S&P 500 (SPX), which hit an intra-day low of 5,504.
However, the ongoing concerns over US trade policies and the strengthening US dollar have put pressure on market sentiment.
Investors are worried that former President Donald Trump’s tough trade stance could shake up global markets, making businesses and traders uncertain about the future.
Moreover, expectations are rising that the Federal Reserve (Fed) might increase interest rates multiple times this year.
This has given the US dollar a boost, making it stronger, but at the same time, it has put more pressure on the stock market. As a result, investors are staying cautious, watching closely how these factors will impact the economy and their investments.
Stronger US Dollar Weighs on S&P 500 Amid Cooling Inflation
On the US front, the broad-based US dollar has been gaining strong traction in the wake of stronger-than-expected jobless claims and softer Producer Price Index (PPI) data.
This combination of economic indicators has fueled optimism about the US economy, boosting demand for the greenback.
As a result, the US Dollar Index (DXY), which measures the USD against six major currencies, has gained momentum.
At the time of writing, DXY is trading around 104.00 as investors shift their attention to the upcoming Michigan Consumer Sentiment Index data.
Meanwhile, the previously released labor market data showed that Initial Jobless Claims came in at 220,000 for the week ending March 7, lower than the expected 225,000. Additionally, continuing claims dropped to 1.87 million, below the forecasted 1.90 million, indicating resilience in the US job market.
Whereas, inflationary pressures eased, with the US PPI rising 3.2% year-over-year in February, down from 3.7% in January and below the 3.3% forecast.
Core PPI, which excludes food and energy, increased 3.4% annually, slowing from 3.8% in January. On a monthly basis, the headline PPI remained unchanged, while core PPI fell by 0.1%.
Therefore, the S&P 500 faced downward pressure as a stronger US dollar and resilient job data fueled concerns about prolonged higher interest rates, while easing inflation provided limited relief to equity markets.
Trade Policy Uncertainty and Geopolitical Risks Exacerbate Market Jitters
Apart from this, President Trump’s latest trade threats intensified fears of global economic instability. Trump recently announced a potential 200% tariff on all European wines and champagne via his social media account, raising concerns over heightened trade tensions.
This move has amplified fears of retaliatory measures from the European Union, potentially disrupting global trade flows and corporate earnings.
Meanwhile, Senate Democratic Leader Chuck Schumer confirmed his support for a GOP stopgap funding bill to keep the government open, but political uncertainty over fiscal policy continues to worry investors.
US Commerce Secretary Howard Lutnick emphasized the administration’s plan to balance the budget within three years under Trump.
While this shows a focus on fiscal discipline, investors fear that aggressive spending cuts could slow economic growth.
As a result, the S&P 500 remains under pressure, with markets reacting cautiously to ongoing political and economic uncertainties.
Looking ahead, investor focus remains on the upcoming Michigan Consumer Sentiment Index data, which could provide further insights into consumer confidence and spending trends.
S&P 500 – Technical Analysis
The S&P 500 (SPX) is trading at 5521.53, holding steady after a strong run, but facing resistance as traders assess macroeconomic conditions.
The index remains above the pivot point at 5510.29, suggesting underlying strength, yet the momentum appears to be losing steam near key resistance at 5599.36. A breakout above this level could fuel further gains toward 5685.55 and 5780.12, reinforcing the longer-term uptrend.
However, downside risks persist, particularly if SPX fails to hold above 5510.29. Immediate support sits at 5406.38, and a break below this level could expose the index to a deeper pullback toward 5313.07 and 5200.68.
The 50-day EMA at 5764.78 remains a critical long-term marker, currently indicating a stretched market that may be due for consolidation or correction.
Investor sentiment remains cautious ahead of key economic events, including the upcoming Federal Reserve minutes and macroeconomic data releases.
Traders are closely monitoring inflation signals and the Fed’s policy stance, which could dictate near-term direction. A hawkish tone from the central bank may trigger profit-taking, while dovish comments could reignite bullish momentum.
For now, the index remains in a consolidation phase, with a decisive move above 5599.36 needed to confirm a continuation of the rally. Conversely, a break below 5406.38 may signal a shift in sentiment, prompting a correction.
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S&P500 (SPX) Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- SPX consolidates near 5521.53, with resistance at 5599.36 limiting further upside.
- A break below 5406.38 could trigger a correction toward 5313.07.
- Market focus remains on Fed policy signals and broader macroeconomic trends.
The S&P 500 (SPX) is trading at 5521.53, holding steady after a strong run, but facing resistance as traders assess macroeconomic conditions.
The index remains above the pivot point at 5510.29, suggesting underlying strength, yet the momentum appears to be losing steam near key resistance at 5599.36. A breakout above this level could fuel further gains toward 5685.55 and 5780.12, reinforcing the longer-term uptrend.
However, downside risks persist, particularly if SPX fails to hold above 5510.29. Immediate support sits at 5406.38, and a break below this level could expose the index to a deeper pullback toward 5313.07 and 5200.68.
The 50-day EMA at 5764.78 remains a critical long-term marker, currently indicating a stretched market that may be due for consolidation or correction.
Investor sentiment remains cautious ahead of key economic events, including the upcoming Federal Reserve minutes and macroeconomic data releases.
Traders are closely monitoring inflation signals and the Fed’s policy stance, which could dictate near-term direction. A hawkish tone from the central bank may trigger profit-taking, while dovish comments could reignite bullish momentum.
For now, the index remains in a consolidation phase, with a decisive move above 5599.36 needed to confirm a continuation of the rally. Conversely, a break below 5406.38 may signal a shift in sentiment, prompting a correction.
S&P 500 - Trade Ideas
Entry Price – Sell Below 5566
Take Profit – 5443
Stop Loss – 5667
Risk to Reward – 1: 1.2
Profit & Loss Per Standard Lot = +$1230/ -$1010
Profit & Loss Per Mini Lot = +$123/ -$101
S&P500 (SPX) Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- S&P 500 remains below 5762.50, indicating near-term downside pressure.
- Break below 5680.36 could accelerate selling toward 5616.83 and 5558.78.
- Reclaiming 5762.50 may shift sentiment bullish, with targets at 5861.08 and 5938.02.
The S&P 500 (SPX) is trading at 5738.53, maintaining a cautious stance as investors assess market conditions ahead of key economic data. The index remains below its pivot point at 5762.50, signaling a potential downside bias.
Immediate support is located at 5680.36, with further declines potentially targeting 5616.83 and 5558.78 if selling pressure intensifies.
On the upside, resistance is seen at 5861.08, with a break above this level opening the door for a move toward 5938.02 and 6007.97.
However, the 50-day EMA at 5944.00 suggests that bulls may struggle to reclaim control unless broader market sentiment improves.
The technical outlook remains bearish as long as the index stays below 5762.50, reinforcing the risk of further downside.
A decisive break below 5680.36 could accelerate selling, pushing SPX toward deeper support zones.
Conversely, a move above 5762.50 may shift momentum in favor of buyers, with potential for an upside retracement.
S&P 500 - Trade Ideas
Entry Price – Sell Below 5762
Take Profit – 5679
Stop Loss – 5826
Risk to Reward – 1: 1.3
Profit & Loss Per Standard Lot = +$830/ -$640
Profit & Loss Per Mini Lot = +$83/ -$64
S&P500 (SPX) Price Analysis – March 07, 2025
Daily Price Outlook
The S&P 500 index faced selling pressure on Friday, dropping to the 5,738 mark after hitting an intra-day low of 5,711. The decline was fueled by investor concerns over US President Donald Trump's shifting trade policies and anticipation of key economic data. Although US stock index futures attempted a modest rebound, market sentiment remained fragile as traders remained cautious.
S&P 500 Under Pressure Due to Trade Policy Uncertainty
On the trade front, Wall Street saw renewed volatility following President Trump's decision to delay the 25% tariff on Canadian and Mexican goods until April 2 as part of the United States-Mexico-Canada Agreement (USMCA).
In response, Canada also postponed its planned tariffs on $125 billion worth of US products. Despite these temporary adjustments, markets remained unsettled due to the unpredictability of global trade policies.
The uncertainty surrounding Trump's tariff strategies has led to concerns over long-term economic growth, with some analysts fearing that these policies could negatively impact corporate earnings. This, combined with ongoing geopolitical tensions, has weighed on investor sentiment, limiting upside potential for the S&P 500.
US Employment Data and Federal Reserve Rate Outlook in Focus
Meanwhile, market participants are keenly awaiting the February employment report, which is expected to show an increase in nonfarm payrolls to 156,000 from January’s 143,000.
The unemployment rate is projected to hold steady at 4.0%, while wage growth is anticipated to slow to 0.3% from the previous 0.5%. Moreover, initial jobless claims fell to 221,000 last week, signaling labor market resilience despite broader economic concerns.
However, reports of rising unemployment claims among federal workers due to layoffs initiated by the Department of Government Efficiency (DOGE), led by Elon Musk, added uncertainty to the labor market outlook. Traders are now focused on Federal Reserve Chair Jerome Powell’s upcoming comments, which could provide further clarity on the central bank’s rate policy stance.
Federal Reserve Rate Cut Speculation Weighs on Market Sentiment
On the US front, concerns about trade policies and possible Federal Reserve rate cuts are affecting market sentiment. Philadelphia Fed President Patrick Harker said the economy is strong but warned about rising consumer stress and inflation risks.
Meanwhile, Atlanta Fed President Raphael Bostic pointed out economic uncertainty and urged caution in making policy decisions.
Fed Governor Christopher Waller said he’s not in favor of a rate cut at the March meeting but noted that cuts could happen later this year if inflation continues to drop.
Markets show little chance of a rate cut in March, and traders are split on whether it will happen in May. However, investors are expecting a rate cut in June, with another one likely in September.
Looking ahead, market participants will closely monitor the upcoming Nonfarm Payrolls (NFP) report, which is expected to reflect the addition of 160,000 jobs in February. Any surprises in employment data could shift expectations regarding Fed policy, influencing the S&P 500’s near-term direction.
S&P 500 – Technical Analysis
The S&P 500 (SPX) is trading at 5738.53, maintaining a cautious stance as investors assess market conditions ahead of key economic data. The index remains below its pivot point at 5762.50, signaling a potential downside bias.
Immediate support is located at 5680.36, with further declines potentially targeting 5616.83 and 5558.78 if selling pressure intensifies.
On the upside, resistance is seen at 5861.08, with a break above this level opening the door for a move toward 5938.02 and 6007.97.
However, the 50-day EMA at 5944.00 suggests that bulls may struggle to reclaim control unless broader market sentiment improves.
The technical outlook remains bearish as long as the index stays below 5762.50, reinforcing the risk of further downside.
A decisive break below 5680.36 could accelerate selling, pushing SPX toward deeper support zones.
Conversely, a move above 5762.50 may shift momentum in favor of buyers, with potential for an upside retracement.
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S&P500 (SPX) Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bearish Momentum: S&P 500 remains bearish below the 50 EMA at 6047.19 and the Pivot Point at 5887.91.
- Support Levels: Key supports at 5773.29, 5715.01, and 5663.83.
- Resistance Levels: Immediate resistance at 5962.87, followed by 6043.48 and 6144.23.
S&P 500 is trading at 5861.56, down 0.01%, reflecting cautious market sentiment as it hovers below the Pivot Point at 5887.91. The index faces immediate resistance at 5962.87, followed by stronger barriers at 6043.48 and 6144.23.
These resistance levels coincide with the 50-day Exponential Moving Average (EMA) at 6047.19, signaling continued selling pressure unless the index breaks above this level.
On the downside, immediate support is observed at 5773.29, with further cushions at 5715.01 and 5663.83. A break below 5773.29 could accelerate the bearish trend, pushing the S&P 500 towards lower support zones.
Conversely, a sustained move above 5887.91 could challenge the 5962.87 resistance level, potentially shifting momentum toward the bulls.
The technical setup indicates a bearish bias as long as the S&P 500 trades below the 50 EMA and the Pivot Point. The 4-hour chart shows a descending trendline, reinforcing selling interest. If the price fails to reclaim the 5887.91 level, it is likely to face continued downward pressure.
For now, the recommended strategy is to Sell Below 5887, with a Take Profit at 5774 and a Stop Loss at 5962. Traders should watch for price action around 5887.91, as a break above this level could invalidate the bearish outlook and trigger a short-term recovery.
S&P 500 Price Chart - Source: Tradingview
S&P 500 - Trade Ideas
Entry Price – Sell Below 5887
Take Profit – 5774
Stop Loss – 5962
Risk to Reward – 1: 1.5
Profit & Loss Per Standard Lot = +$1130/ -$750
Profit & Loss Per Mini Lot = +$113/ -$75
S&P500 (SPX) Price Analysis – Feb 28, 2025
Daily Price Outlook
Global market sentiment turned bearish as the S&P 500 tumbled more than 1% on Friday, closing at 5,860 after hitting an intra-day low of 5,858.
The sharp decline was fueled by concerns over corporate earnings, weak economic data, and escalating geopolitical uncertainties.
One of the biggest contributors to the market downturn was NVIDIA (NASDAQ: NVDA), which fell 8.5% to close at $120.15.
Despite reporting strong fourth-quarter earnings that exceeded Wall Street expectations, investors reacted negatively to concerns over narrowing profit margins and rising production costs related to the company’s new Blackwell systems and chips.
Strong US Dollar and Economic Data Weigh on Markets
On the US front, the US Dollar Index (DXY) surged above 107.00 following the release of fourth-quarter GDP data, which showed an annualized growth rate of 2.3%. Although this matched initial estimates and market expectations, it signaled a slowdown from the 3.1% growth seen in Q3.
Meanwhile, Federal Reserve Bank of Atlanta President Raphael Bostic reiterated that the Fed should maintain its current interest rate policy to keep inflation under control. This stance dampened hopes for an imminent rate cut, adding pressure to equity markets.
Meanwhile, the latest labor market data showed a significant increase in initial jobless claims for the week ending February 22, attributed to corporate layoffs and severe winter weather.
Furthermore, recent services PMI and Michigan consumer sentiment data suggested the economy might be slowing, reinforcing expectations that the Fed could cut interest rates in 2025, though no immediate changes are expected.
Therefore, the S&P 500 faced downward pressure as a strong US Dollar, hawkish Fed stance, and slowing economic indicators fueled investor concerns, reducing hopes for near-term rate cuts and weighing on equities.
Global Trade Tensions Rise Amid New Tariffs and Economic Measures
Apart from this, US President Donald Trump announced a series of new tariffs, including a 25% tariff on Mexican and Canadian goods and an additional 10% duty on Chinese imports. This move heightened concerns about global trade tensions.
Meanwhile, the White House issued an executive order aimed at cutting government costs, further influencing market sentiment.
In addition, the People’s Bank of China (PBOC) injected CNY300 billion into the economy, maintaining interest rates at 2% to support economic stability. However, these measures did little to ease investor concerns over slowing global growth.
Moving ahead, the market participants now turn their attention to the upcoming Personal Consumption Expenditures (PCE) Price Index, the Fed’s preferred inflation gauge.
S&P 500 – Technical Analysis
S&P 500 is trading at 5861.56, down 0.01%, reflecting cautious market sentiment as it hovers below the Pivot Point at 5887.91. The index faces immediate resistance at 5962.87, followed by stronger barriers at 6043.48 and 6144.23.
These resistance levels coincide with the 50-day Exponential Moving Average (EMA) at 6047.19, signaling continued selling pressure unless the index breaks above this level.
On the downside, immediate support is observed at 5773.29, with further cushions at 5715.01 and 5663.83. A break below 5773.29 could accelerate the bearish trend, pushing the S&P 500 towards lower support zones.
Conversely, a sustained move above 5887.91 could challenge the 5962.87 resistance level, potentially shifting momentum toward the bulls.
The technical setup indicates a bearish bias as long as the S&P 500 trades below the 50 EMA and the Pivot Point. The 4-hour chart shows a descending trendline, reinforcing selling interest. If the price fails to reclaim the 5887.91 level, it is likely to face continued downward pressure.
For now, the recommended strategy is to Sell Below 5887, with a Take Profit at 5774 and a Stop Loss at 5962. Traders should watch for price action around 5887.91, as a break above this level could invalidate the bearish outlook and trigger a short-term recovery.
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