S&P 500 Support Levels: September 26, 2017 - Forex News by FX Leaders

S&P 500 Support Levels: September 26, 2017

Posted Tuesday, September 26, 2017 by
Shain Vernier • 2 min read

Amid nearly unprecedented levels of global and domestic political tension, U.S. equities have held strong. Trade of prominent U.S. indices are currently above the 38% retracement level of September’s range. This is a bullish indicator and one that is a bit surprising.

This morning’s pre-cash open has brought the Redbook releases, a measure of U.S. retail:

Event                                           Previous               Actual

Redbook (MoM, Sept. 18)              0.1%                   0.0%

Redbook (YoY, Sept. 18)                3.6%                   4.0%

Redbook numbers are not typically market movers. This batch doesn’t show us much, aside from the long-term growth in retail.

This Week’s Key Levels For E-Mini S&P 500 Futures

December E-mini S&P 500 futures remain in bullish territory, not far from all-time highs.

S&P 500December E-mini S&P 500 Futures, Daily Chart

As we move further into the trading week, a nice area of support may shape up for a long trade:

  • 38% retracement of September’s range at 2483.00

  • Bollinger Band MP 2480.25

  • 20 Day EMA at 2486.00

  • 13 Day SMA at 2466.75

I like a defined support area. With the area between 2483.00 and 2466.75 littered with technical levels, we may be in a good position to capitalize upon a retracement.

Bottom Line: Unless there is a major shift in market sentiment, this market is going to need some time to set up. For today, a long from 2483.00 is a good spot to get in on the strength of this market. A 1:1 entry with a stop below the 50% level at 2475.50 is the scenario for an intermediate-term bullish swing trade.

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About the author

Shain Vernier // US Analyst
Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.
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