Source: PaxForex Premium Analytics Portal, Technical Insight

The S&P 500 and Dow indices hit record highs on Friday after the release of good quarterly results from the largest U.S. banks, and Wall Street ended the week on the upside amid optimism about the strong economic recovery. The S&P 500 index rose 0.12% to 4,175.66 points.

S&P 500, H4

Pivot: 4175.00

Analysis:

Provided that the index is traded above 4120.00, follow the recommendations below:

• Time frame: H4
• Recommendation: long position
• Entry point: 4175.00
• Take Profit 1: 4220.00
• Take Profit 2: 4270.00

Alternative scenario: 

In case of breakdown of the level 4120.00, follow the recommendations below:

• Time frame: H4
• Recommendation: short position
• Entry point: 4120.00  
• Take Profit 1: 4070.00
• Take Profit 2: 3970.00

Comment:

RSI indicates an uptrend during the day.

Key levels:

S&P 500, D1

Pivot: 4185.00

Analysis:

While the price is above 4030.00, follow the recommendations below:

• Time frame: D1
• Recommendation: long position
• Entry point: 4185.00
• Take Profit 1: 4270.00
• Take Profit 2: 4385.00

Alternative scenario:

If the level 4030.00 is broken-down, follow the recommendations below:

• Time frame: D1
• Recommendation: short position
• Entry point: 4030.00 
• Take Profit 1: 3950.00
• Take Profit 2: 3855.00

Comment:

RSI is bullish and indicates further increase.

Key levels: