With S&P 500 futures still holding firm above the important Gann level at 5864.67, experts at ONE44 Analytics suggest an upside move towards 5993.00 while acknowledging the stiff levels of the corrective Fibonacci retracement. Last week's trading patterns highlighted strength as the market bounced back swiftly after a brief pullback, proving its form and rising above the make-or-break line of 5850.75.
That firming around 5850.75, confirmed as the weekly swing point, is a bullish signal. With the mere underpinnings of the market's current regime firmly held by ONE44's highly specific Fib retracement levels, projections are made with a trajectory that points towards the lofty target area of between 6102.00 and 6142.00. However, before getting to the next vertical levels in the higher range, the main focus is first to get above the upcoming Gann square at 5993.00, which, after breaking, may turn into a support level.
On the other hand, a break of the 5850.75 swing low could lead the index down to 5735.00, where a 23.6% Fibonacci retracement from the recent low can easily conjoin closely with the Gann square at 5706.00. This type of downturn, though, is not expected in such an environment already. Analysts continue to point out that even the minor correction to the 5800.00 level remains bullish for a new high in the short term.
Current investor focus at ONE44 Analytics remains on Fibonacci retracement and Gann squares for market movements, retaining a logical structure across asset classes. The goal is to supply its feed subscribers with not mere forecasts but the progression of a comprehensive understanding of market behaviors.
