Source: PaxForex Premium Analytics Portal, Technical Insight

The U.S. stock market rose in trading on Monday, with all three major indices closing at new historic highs.
The market was supported by news that U.S. President Donald Trump signed the country's $2.3 trillion fiscal year 2021 budget, which includes a $900 billion pandemic economic support package. The decision, which was announced Sunday, brought relief to investors who were alarmed by Trump's demands last week that Congress amend the COVID-19 pandemic relief bill and increase stimulus cheques to Americans and small businesses.

S&P 500, H4

Pivot: 3735.00

Analysis:

Provided that the index is traded above 3722.00, follow the recommendations below:

• Time frame: H4
• Recommendation: long position
• Entry point: 3735.00
• Take Profit 1: 3760.00
• Take Profit 2: 3780.00

Alternative scenario: 

In case of breakdown of the level 3722.00, follow the recommendations below:

• Time frame: H4
• Recommendation: short position
• Entry point: 3722.00
• Take Profit 1: 3704.00
• Take Profit 2: 3690.00

Comment:

RSI indicates an uptrend during the day.

Key levels:

S&P 500, D1

Pivot: 3703.00

Analysis:

While the price is above 3515.00, follow the recommendations below:

• Time frame: D1
• Recommendation: long position
• Entry point: 3703.00
• Take Profit 1: 3900.00
• Take Profit 2: 4070.00

Alternative scenario:

If the level 3515.00 is broken-down, follow the recommendations below:

• Time frame: D1
• Recommendation: short position
• Entry point: 3515.00
• Take Profit 1: 3390.00
• Take Profit 2: 3210.00

Comment:

RSI is bullish and indicates further increase.

Key levels: