The S & P 500 has a deep pullback beneath Simple Moving Averages (SMAs) while selling pressure hit past 3100 levels downwards at new lows in 2020. The spread of Coronavirus makes investors fear global growth. Continuous stays beneath the stated level may increase further selling expanding down to 2800 level.

Key levels
Resistance levels: 3400, 3220, 3000
Support level: 2853, 2772, 2600

S&P 500 Long term Trend: Bearish

The S & P 500 received another blow in the previous session: the opening price gap plunged beneath the critical support at 3000.00 level, and now it has entered the second phase of selling at today’s session towards the next support level at 2853.00, currently, it is trading near the level of 2950.00.

Currently, the index is trading at 2947.00 level, after an attempt to close the price gap failed and fell before returning to the level of 3000.00. We can see attempts to stay past 2900.00 level, however, if this fails, the next two supports are estimated at 2853.00 and 2772.9 levels.

S&P 500 Short term Trend: Bearish

The S & P 500 is experiencing a deep downward correction and is currently challenging its moving average of 5, trying to rebound since the bears broke beneath 3000 levels, reaching new lows in 2020.

The spread of Coronavirus causes traders to panic. The lack of an upward momentum of the S & P 500 may lead to further selling with a further decline to the level of 2853.00.

Instrument: S&P 500
Order: Sell
Entry price: 3000
Stop: 3069
Target: 2853

Source: https://learn2.trade