Financial markets today American Index S&P 500 December 2020 forecast

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Financial markets today: American Index S&P 500 short and medium term

Financial markets today: Index S&P 500 seen through the technique and temporal cycles by the American economist W.D. Gann.

S&P 500 American Stock Exchange graphic

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sp500 Index monthly 11.10.20
financial markets today
sp500 Index monthly 11.10.20

Financial markets December 2020: S&P 500 medium-term

Since March 2009, the S&P 500 Index market has been evolving its prices within a long-term Bull-campaign.

Within the cycle of the last decade, we can observe how the price-time dynamics have had ascending phases with robust returns, alternating with partial negative retracements.

By associating the study of the trend with linear mathematics, we can derive a geometric model that the American market Drift, with its multiples and submultiples, has determined the ascending corridor of the S&P 500 index and the relative supports and resistances.

The yellow vectors on the slide are the irradiation of the 1X2 angle and have determined the dynamic support in various evolutionary phases of the trend.

In particular, the angle originating from March 2009 and October 2011 has created the conditions for a rebound in prices both in June 2016 and in December 2018.

However in the April 2020 correction this vector was broken downwards, but the Zero angle relative to the top of October 2007 and March 2009 has managed very well to provide the support from which the new upward phase of the second quarter of this year has evolved.

1X2 vectors, with the same angular degree, has also generated important resistances.

For example, the Zero angle originating in October 2002 and the top in May 2011 has constituted price-time ratios from which we observe the beginning of negative retracements.

In particular the top of March 2020.

Although external shocks has led to the diversification of hedge-fund investments, this vector was an insurmountable strength in that temporal context.

If you look more carefully, in the period from August to November 2020, the prices of the S&P 500 Index are swinging over the area of ​​the price-time ratio highlighted by this vector.

The months of September and November coincide with the expiration of significant temporal cycles.

The market has executed a bearish out-side in September.

In November, still in progress, we have witnessed the positive infringement of the previous cycle.

Indeed, the American Stock Market has re-established a medium-term bullish trend that will positively break the 1X2 angle, radiated in yellow.

New resistances in zone 4.180.

Only the return below 3.180 level will re-establish a new corrective trend: supports in 3.150 area.

American Stock Exchange Indexes: S&P 500 long-term

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sp500 Index quarterly 11.10.20

Even in the long term, it can be observed that the 1X2 Zero angle, radiated with yellow color, has perfectly intercepted the low of the first quarter of 2020 at 2,190.

The rebound, from the second quarter onwards, has brought the prices back into the ascending corridor radiated by the red 1X1 angles.

The trend is steadily positive. Resistances in zone 3.644; 4,160.

Only if prices reach the level of 3,070, the long-term dynamics will be reversed.

Supports in  3.230 area.

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