🚀S&P 500 hits new all-time high❗

Upbeat sentiment from the previous week continues today and both the S&P 500 index and the US500 contracts are reaching new record highs. As one can see, the risk related to the Omicron only for a moment had a negative impact on the US stock market, although we cannot assume that the threat has completely passed. Goldman Sachs expects economic activity to decline significantly in the first quarter due to a new variant of the coronavirus.

Most sectors are gaining today, with relatively limited trading volumes in the post-holiday week. Slight weakness can be observed in the leisure and aviation sectors due to flight cancellations. The dollar, meanwhile, erased its earlier gains, and the US100 (or the Nasdaq contracts) has traded at its highest since November 22, when historic highs were established.

US500 continues its strong rebound after testing the 100 SMA last week. Previously in such situations, the index usually rose by 10% to 15% in the first phase. The range of 10% upward move counted from the recent low is located around 4965 points and coincides with 200% retracement of the last downward wave. The nearest major  resistance is located around 4800 and is strengthened by 123.6 retracement. The key support can be found around 4,720 level. Source: xStation5