Technical Analysis SP500 : 2020-03-05

IFC Markets

Master Trader
Oct 31, 2012
London (Great Britain)
Donchian ChannelNeutral
Parabolic SARBuy
Chart Analysis
IFC Markets Tech Analysis

On the 4-hour timeframe SP500: H4 is rising toward 200-period moving average MA(200) which is falling. We believe the bullish momentum will continue after the price breaches above the upper Donchian boundary at 3136.41. This level can be used as an entry point for placing a pending order to buy. The stop loss can be placed below 2976.32. After placing the pending order the stop loss is to be moved every day to the next fractal low, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop-loss level (2976.32) without reaching the order (3136.41) we recommend cancelling the order: the market sustains internal changes which were not taken into account.

Fundamental Analysis
Fed’s easing of monetary policy supports US stock market. Will the SP500 rebound continue?