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The S&P 500 Index has all but achieved the 4200 area and with the market seen at its “typical” extreme analysts at Credit Suisse are looking for an interim peak here, reinforced by the poor Volume picture and overextended sentiment readings.

15% above 200-day average currently at 4157

“Below support at 4126/21 is needed to add weight to the view of an interim peak at 4200, as this would mark a near-term top for a fall back to 4068, then 4034/20, where we would then look for a fresh floor. Below though would warn of a more protracted correction lower and a move towards the 63-day average, currently at 3933.”

“Big picture, even if correct, our bias would be to view a pullback/correction from 4200 as temporary and corrective, with a clear break in due course seen opening the door to a move to 4260 next, then 4350.”

“We can often see 10%-15% above the 200-day average as the upper extreme for the S&P 500, which is where the market currently resides.”