Originally published on December 5, 2016, 6:51 AM
Briefly: In our opinion, speculative short positions are favored (with stop-loss at 2,240, and profit target at 2,060, S&P 500 index).
Our intraday outlook is bearish, and our short-term outlook is bearish. Our medium-term outlook remains neutral, following S&P 500 index breakout above last year's all-time high:
Intraday outlook (next 24 hours): bearish
Short-term outlook (next 1-2 weeks): bearish
Medium-term outlook (next 1-3 months): neutral
Long-term outlook (next year): neutral
The U.S. stock market indexes were virtually flat on Friday, as investors hesitated following recent stock prices decline, economic data releases. The S&P 500 index remained below the level of 2,200. However, it is still close to its Wednesday's new all-time high of 2,214.10. The nearest important level of resistance is at 2,200, and the next resistance level is at 2,210-2,215, marked by record high. On the other hand, support level is at 2,190, marked by previous level of resistance. The next important level of support remains at 2,170-2,180. The market continues to trade along its medium-term upward trend line, as we can see on the daily chart: