The S&P index managed to close above its 100-week moving average last week for the first time since August, a feat that, although achieved by a slim margin , hands more control to buyers.
In today's trading, the index hit a new peak since the week of August 15, at 4231.10, before retracting into negative territory with a low of 4201.95. Notably, this is still above the current week's 100-week moving average of 4198.84.
Technically, if the index can maintain its position above this moving average, it bolsters buyer control, potentially paving the way toward a long-term target of 4311.69, which represents a 61.8% retracement of the drop from the 2022 high to the 2022 low.
However, should the index dip below the 100-week moving average, the 50% midpoint of the same downward trend at 4155.10 becomes a viable target for traders. Any further declines could suggest additional downward explorations following the failed attempt to sustain above the crucial 100-week moving average
