Thursday, May 5, 2011

1343 support level is do or die for S&P500

S&P500 technical analysis chart:
1343 is the major support level for S&P500 that many financial analysts including me are going to pay attention on Thursday. I'm in the camp that 1340-1343 support level is going to hold. I'm going to wear my bull mask as long as S&P500 stays above 1340.

On the other hand if S&P500 violates 1340 and tanks below it for 2 or 3 days I would say bulls are in trouble, and there is more to go. If 1340 fails to hold next reasonable support levels would be 1335 and 1300. But if we get a fake move below 1340 for day or two then big institutions jump back and send the market above 1340 there is a good chance shorts get squeezed and causes S&P500 to rally hard. my bullish target for this year is 1430. let's see if we can make it!

S1: 1343

S2: 1335

S3: 1300