S&P cleared key resistances, breaking out from a short-term downward trend. Consecutive close above 3122 would signify a breakout and bullish reversal, supporting upside follow-through in the weeks ahead. However, market is short-term overbought following recent advance. There could be a sell-off in the offing but it would be shallow if so

S&P is at key technical juncture. Current rally is testing resistance at Tuesday’s bearish breakaway gap. The longer the index stay below that level, the more vulnerable it is to lower prices

recent trading actions leaving the S&P in what looks to us like an orderly high level back-and-forth consolidation of the October massive rally. There is a high probability that the upper and lower limit of a short-term trading range has been set between the 3035 and 3085 levels on the S&P. Short-term traders can anticipate continued volatility with rapid up and down moves in the markets

S&P climbed above the lower boundary of the pink band, clearing an important hurdle. However, given looming resistance at the important sentiment 3000 mark, there is no big commitment to accumulate stocks aggressively until this resistance zone is eclipsed. As for strategy, traders should consider buying into short-term market dips rather than chasing breakouts