“Good Results”

-The “good results” presented by the American economy, contributed strongly to an appreciation of the most important index in the world.

-In a previous analysis, given the situation at the moment, we had formed a bearish pivot that could seek the region of 3950, however, it was extirpated by the bulls without mercy.

-As I have been mentioning for some time, the American index made two attempts to form an upward pivot on the monthly chart, however, neither of them is managing to go ahead with prices.

-Could it be fear of “possible deflation” that is preventing bulls from going further with prices? After all, the US currency is losing strength around the world (DXY), which contributes to the long-awaited overthrow of inflation by the FED, but leaves a generalized deflation closer and closer.

-On the weekly and daily charts, the SETUP used indicates strong fatigue on the part of the bulls, which could undermine a stronger reaction for the index.

-Weekly: High pivot formed towards the region of 4268. We had a beautiful hammer formed in the last week that ended. Will we have another breath for a new dive?

-It is on the daily chart that things really start to get complicated, as the SETUP indicates that we have no more space for prices to continue their rise, suggesting the region of 4248 as a probable stop point for prices!