The S&P 500 closed above the top of the 2888/2934 recovery objective zone – the 61.8% retracement of the Q1 collapse and falling 63-day average – and analysts at Credit Suisse see scope for strength to extend.
Key quotes
“The environment has certainly improved, and we see scope for strength to extend further yet to 2986, then more likely the 200-day average, currently at 3006.”
“With further gap resistance not far above at 3024, our bias would be to look for a fresh attempt to set a top here. A close above 3006 and break above 3024 though would suggest our view that strength has been corrective is wrong.”
“Support is seen at 2924 initially, then 2914/12, below which can ease the immediate upside bias for a fall back to 2892, then 2863/60, but with a move below here needed to mark a more concerted easing in upside pressure.”
Share
