S&P 500 technical breakout suggests higher highs - Fairlead Strategies
The S&P 500 reached a new all-time high Friday, driven in part by semiconductor stocks on the back of strong AI spending trends. It was the first record close for the bellwether index in over two years.
For Fairlead Strategies' technical analysts, today's strong surge and record close was deserving of a refresh of the charts… and that's where it gets interesting. According to analysts, if today's technical breakout is confirmed it could lead to higher highs near-term and longer-term.
«Assuming the breakout is confirmed, we see it as a positive technical catalyst that not only removes resistance from the chart, but also tends to generate additional upside momentum,» analysts commented.
How high? According to analysts, we could be headed to over 5200 over the next few months and over 6100 over the next 6+ months.
«You’ll see a long-term (6+ months) measured move projection of ~6120 on the monthly chart of the SPX, and an intermediate-term (~3-4 months) projection of ~5220 on the weekly chart,» analysts said. «These may be too aggressive, but they dictate a bullish bias nonetheless. The breakout would be confirmed on a second weekly close above 4819.»
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