14 Nov 2013
S&P 500: buy a breakout pullback, 1,800 next big target - 2ndSkies
FXstreet.com (Barcelona) - In what may represent a surprise to few, the S&P 500 had a breakout of its all-time highs yet again, as the positive correlation between no immediate taper by the Fed and bullish sentiment in stocks continues as tight as ever.
Chirs Capre, Founder at 2ndSkies, notes: "Considering the volume was not abnormally high and thus not an exhaustion move, if the bulls can continue pushing, 1800 seems quite likely."
Capre is interested in buying a breakout pullback towards 1776 and 1767 on corrective pullbacks. "If those levels hold, then we should see a re-test of the 1785 session high, 1790, and then likely 1800 (or just shy)" Capre said.
"If however the bulls fail to maintain the upside, and we get dips below 1767, then I'll consider that a failed breakout, and will look for bearish opportunities" the trader added.
Chirs Capre, Founder at 2ndSkies, notes: "Considering the volume was not abnormally high and thus not an exhaustion move, if the bulls can continue pushing, 1800 seems quite likely."
Capre is interested in buying a breakout pullback towards 1776 and 1767 on corrective pullbacks. "If those levels hold, then we should see a re-test of the 1785 session high, 1790, and then likely 1800 (or just shy)" Capre said.
"If however the bulls fail to maintain the upside, and we get dips below 1767, then I'll consider that a failed breakout, and will look for bearish opportunities" the trader added.