the big picture remains the same. There is a consolidation near the late 2018 breakdown gap, which represents digestion period. S&P’s 2760 is the line in the sand. A close above that level could trigger acceleration toward 2800
S&P is overbought and due to consolidate. Nevertheless, the overall technical backdrop remains positive so pullback should be shallow and quick. With that said, while some backing and filling would not be a surprise, if the S&P could pause and hold above 2730 then a move above 2800 would be easier to be sustained
S&P cleared key resistance Tuesday, signified the one-week congestion pattern had resolved itself into a new upswing. Nevertheless, it will be important to monitor the retreat and rebound behaviors over the next few days to determine whether breakouts are decisive
trading behavior in the S&P remains constrained by a short-term sideways pattern and shown little evidence of a sustainable change in trend. 2740 is the line in the sand. There is a no reason to turn particularly bullish until this area is eclipsed.