Pro Charts: Stocks & ETFs

S&P In Collapse Mode: Here Are Two Major Targets

Updated: Apr 22, 2024 | Published: Apr 19, 2024
Verified Investing
By Verified Investing
S&P In Collapse Mode: Here Are Two Major Targets

The S&P 500 continues to decline sharply over earnings, rates, inflation and geopolitical risks. The S&P has now lost all of its 2024 gains and is at risk of turning negative for the year.

With many risks showing little sign of subsiding, downside targets have to be looked at. The first downside support on the S&P is 4,815. This is the previous all-time high from 2021.

The second major support is the pivot high from July 2023 at 4,600.

It is important to recognize that bounces will happen and be sharp. Luring the bulls back into buying is key for exit liquidity for institutions. However, the uptrend is broken which means it is a sell-the-rip market vs buy-the-dip.