The monthly charts will receive new data points on Friday at 4 PM EST and June trading begins on Monday 6/3/19 one week from now. The 10-month MA at 2789 and 12-month MA at 2785 are two key lines in the sand for the US stock market. The SPX is above both parameters and in a cyclical bull market pattern as per this metric.
The bulls are not concerned since the SPX is at 2826 comfortably above this key support confluence at 2785-2789. This level is for all the marbles. If the SPX loses 2785-2789, Pandora's Box opens and relentless selling and bloody stocks will be the order of the day going forward. The bulls are not worried and bounced price last week from 2801 a dozen points from this 2785-2789 Armageddon support level.
The month of May will likely be negative since price needs to recover about 125 points in four days to move back above 2950 but you never know these days. Bulls are fine over the intermediate term (weeks and months ahead) as long as price remains above 2785-2789. If this key 2785-2789 level fails, the stock market may go into free fall. Equities may continue the ongoing sideways whipsaw pattern into the G20 meeting in June where President's Xi and Trump will decide the fate of global markets. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.
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