This week the S+P 500 tested it’s midpoint from the February lows to the April highs(white dotted horizontal line). The market consolidated for a couple of days and now is pushing higher, now back above it’s 50 day moving average.
One possible technical hurdle to clear will be the midpoint between the April highs and this weeks swing low at 1815. That level equates to roughly 1856 and it was tested today as you can see on the 30 minute chart above (white horizontal dotted line). We had a brief selloff when that level was tested earlier this morning, but have since rebounded and getting close to today’s high once again.
If we trade above 1856 for any length of time, it’s quite possible the previous swing high at 1872 would be the next logical upside target.
