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4-hr US500: Setting up for a 100 Point Jump

After a 300-point correction from its December highs, the SP500 appears to be rebounding as bulls regain control. This recovery is supported by positive economic data, including strong NFP numbers, low unemployment, and CPI readings meeting expectations—all favorable for stocks. Additionally, the earnings season began yesterday with exceptional results from the financial sector, providing further momentum.

Technically, the index is breaking above the 61.8% Fibonacci retracement. If the price closes above the critical 5,980 level, it could signal a trend reversal rather than just a correction. A break above this level may trigger more buying, with upward momentum potentially pushing the price toward forming a Double Top chart pattern at 6,090. This target represents a potential 100-point profit for buyers aiming to capitalize on the move.

The combination of strong fundamentals and technical indicators suggests a favorable outlook, but sustained momentum will be key for bulls to maintain control and achieve these higher levels.
Chart PatternsTechnical IndicatorsTrend Analysis

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