Weekly S&P 500 Technical Analysis

The S&P 500 had a wild week. After the mega trillion-Dollar stocks took it up early in the week, it flushed sharply on Thursday. This put in a technical reversal candle on the daily chart. While Friday saw a rebound from buy-the-dippers, late selling emerged and capped the gains. The reversal candle from Thursday is still holding and probabilities favor the downside.

In addition, price of the S&P 500 has been hammering on the underbelly of a channel trend line. Every time it hits, there has been a sell in the S&P 500. Last week it hit again. History has shown technical traders that a pullback is likely.

Traders and investors should look for more weakness in the coming days. Note the chart above.