US500: are we waiting for a break out?


As previous studies, we hypothesized a forthcoming FED Pivot (Spring 2023), with a minimum of wave A on June 17 and a minimum of wave C between the end of October and November. We also recall that the financial markets anticipate the real economy by 3 to 6 months.


Taking the S&P500 index as a reference, we observe how in the semi-logarithmic weekly chart (figure 1) prices are, right now, trying to break out the bearish channel that forced prices during the entire correction of 2022, all confirmed by a clear bullish momentum divergence.


If prices were to close, in the current week, above the bearish line and, therefore, the 50-period Weekly Moving Average, we will have the first real bullish signal after more than 13 months of correction, confirming the studies carried out.

Please note that the information provided is not financial advice. It’s important to conduct thorough research and consider consulting with a financial professional before making any investment decisions.

Figura 1